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2 votes
Interest Earned: $235.50
Principal: $7850
Interest rate: 2%
What is the time.

User Tsaarni
by
8.6k points

1 Answer

6 votes

Interest = (Principal * Rate * Time)/100

Make Time the subject of the formula

Cross multiply both sides

Interest * 100 = Principal * Rate * Time

100 I = PRT

Divide both sides by PR

100 I/PR = PRT/PR

100 I /PR = T or T = 100 I / PR

Input the values

T = (100 * 235.50)/ 7850 * 2

T = 23550/15700

T = 1.5 years - the unit of time in this topic is always in years except if stated otherwise

P - Principal R - Interest rate T - Time I - Interest



User Sitilge
by
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