Question

Patel made a deposit into an account that earns 5%simple interest. After 10 years Patel had earned $1500 in interest. How much was Patel’s initial deposit?

Answer 1

$\bf ~~~~~~ \textit{Simple Interest Earned}\\\\ I = Prt\qquad \begin{cases} I=\textit{interest earned}\to &\ 1500\\ P=\textit{original amount deposited}\\ r=rate\to 5\%\to \frac{5}{100}\to &0.05\\ t=years\to &10 \end{cases} \\\\\\ 1500=P(0.05)(10)\implies \cfrac{1500}{(0.05)(10)}=P$