Question

Find how much should be invested to have $14,000 in 10 months at 9.1% simple interest.

Answer 1

Answer:

$\ 13,013.17$

Step-by-step explanation:

we know that

The simple interest formula is equal to

$A=P(1+rt)$

where

A is the Final Investment Value

P is the Principal amount of money to be invested

r is the rate of interest  

t is Number of Time Periods

in this problem we have

$t=10/12\ years\\ P=?\\ A=\ 14,000\\r=0.091$

substitute in the formula above  

$\ 14,000=P(1+0.091*(10/12))$

$P=\ 14,000/(1+0.091*(10/12))$

$P=\ 13,013.17$