Question

The simple interest x on an investment would take p dollars at an interest rate r or t years is given by x=prt. Find the time it would take to earn $900 in interest on an investment of $21,000 at a rate of 4.6%

Answer 1

Answer:

It'd take 0.93 years to obtain that value.

Step-by-step explanation:

Since we were given the initial amount and the interest rate, we wish to know the time to earn 900 from those values. So we can isolate the variable we wish to find, in this case it's the time t.

prt = x

t = x/pr

Now we can apply the values that were given to us:

t = 900/(0.046*21000) = 900/966 = 0.93

It'd take 0.93 years to obtain that value.

Answer 2

Answer:

Step-by-step explanation:

Given:

Principal amount, p = $21,000

Interest, I = $900

Rate, r = 4.6%

Using simple interest formula,

I = (p × r × t)/100

Time, t = (900 × 100)/(21000 × 4.6)

= 0.932 year.

= 11.2 months.