Question

Here is a Math Question. Joey made a deposit into an account that earns 6% simple interest. After 3 years, Joey has earned $400. How much was Joey's initial deposit?

Answer 1

Answer:

His initial deposit is $2222.2

Step-by-step explanation:

To find the amount deposited, we will simply use the formula for calculating simple interest.

Simple Interest = $\frac{P X R XT}{100}$

Where p = principal

           R= Rate

            T= Time

Principal is the initial amount deposited which we are ask to find.

R is given to be 6%  and T is the time which is given in years

Simple interest is the interest earned over the year which is given to be $400

Lets substitute our variable into the equation

Simple Interest = $\frac{P X R XT}{100}$

$400  = P × 6 × 3   /     100

$400 = $\frac{18 P}{100}$

We will then cross multiply

$40 000  =   18 P

To get  the value of P, we divide both-side of the equation by 18

$\frac{40 000}{18}$   =   $\frac{18 P}{18}$

$2222.22 =  P

P = $2222.22

Joey's initial deposit is $2222.22

Answer 2

Joey originally put in $384.