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Vinil7 [7]
3 years ago
8

The simple interest formula is I = Prt, where I represents simple interest on an amount, P, for t years at a rate of r, where r

is expressed as a decimal. What is the amount of money, P, that will generate $40 in interest at a 10% interest rate over 5 years?
Mathematics
1 answer:
andrey2020 [161]3 years ago
5 0

Answer:

$80

Step-by-step explanation:

From the question, we are given The simple interest formula as I = Prt,

where l = simple interest on an amount= $40

t= years=5years

at a rate r= 10%

The rate= 10/100= 0.1

Then since we are looking for P, we can make P subject of formula from this expression;

I = Prt

P=I/rt

P= 40/(0.1 ×5)

P= 40/0.5

P= 80

therefore, the amount of money p that is needed is $80

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