bert is planning to open a savings account that earns 1.6% simple interest yearly. He wants to earn exactly 128 interest in 2 ye

Question

sdas [7]

3 years ago

10

bert is planning to open a savings account that earns 1.6% simple interest yearly. He wants to earn exactly 128 interest in 2 ye

ars how much money should he deposite

Mathematics

1 answer:

mina [271] · Answer 1 · 2022-01-06T11:53:23+03:00

The formula for simple interest is I = prt, where I is the amount of interest, p is the principal invested, r is the rate as a decimal number and t is the amount of time. Substituting our given information we have
128 = p(0.016)(2) ----- 1.6% = 1.6/100 = 0.016
128 = p(0.032)
Divide both sides by 0.032:
128/0.032 = p(0.032)/0.032
4000 = p
He needs to invest $4000.