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Nonamiya [84]
3 years ago
10

You want to put some money in a simple interest account. It pays 8% interest annually for 2 years. You would like to earn $500 i

n interest. How much money do you need to put in?
Mathematics
2 answers:
Arte-miy333 [17]3 years ago
4 0
I = PRT
500 = P x 0.08 x 2
500 = P x 0.16
(Divide both sides by 0.16)
P = 500/0.16
Principle = 3,125
kati45 [8]3 years ago
3 0
Rate p.a. = 8%
Time = 2 years
SI     = $ 500
Principal = ??
Principal = SI*100/ R*T
               = 500*100/8*2
               = 50000/16
               = $ 3125

Therefore, the amount you put in is $ 3125
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