Andrew invested $20,000 in mutual funds and received a sum of $35,000 at the end of the investment period. Calculate the ROI.

Question

anonymous · Answer

@mcghee896  assuming ROI = Rate of Interest

Principle = $20000
AMount= $350000
Interest = $35000 - $20000 =  $15000
Time = PLease specify the time

Formula if :

$$SI = \frac{ P \times R \times T  }{ 100 }$$

$$R =  \frac{ SI }{ P \times T }$$

Note SI = SImple Interest or Interest

Forumula if:

$$A = P(1 + rt)$$

Then

$$R = \left(\frac{ 1 }{ T }\right)\left( \frac{ A }{P }  - 1\right)$$

Both the Formula's are correct...only you need to switch -in the value of Time period T

anonymous · Answer

thanks man