Answer:
The amount of $1000 principal is needed to have $3000 after 5 years.
Step-by-step explanation:
As the interest formula is
Where
- P is the principle
- r is the rate in decimal
- t is the time in years
Substituting the following values in the interest formula and solve for P
I=$3000
r = 6% = 6/100 =
t = 5
so the equation becomes
switch both sides
$
Therefore, the amount of $1000 principal is needed to have $3000 after 5 years.