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Robert invests $1,100 at an annual interest rate of 8% for the period of 1 year. What equation shows the relationship between principal amount (p), rate of interest (r), period of investment in years (t), and interest earned (i).

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Final answer:

The equation representing the relationship between the principal amount, interest rate, period, and interest earned in Robert's investment is: Interest (i) = Principal (p) × Rate of interest (r) × Time (t). For Robert, who invests $1,100 at an 8% annual rate for 1 year, the calculation would be i = $1,100 × 0.08 × 1.

Step-by-step explanation:

The equation that shows the relationship between the principal amount (p), rate of interest (r), period of investment in years (t), and interest earned (i) for a simple interest investment is:

Interest (i) = Principal (p) × Rate of interest (r) × Time (t)

In the case of Robert's investment:

  • Principal (p) is $1,100
  • Annual interest rate (r) is 8% or 0.08 when expressed as a decimal
  • Period of investment (t) is 1 year

Therefore, the equation becomes:

i = $1,100 × 0.08 × 1

This equation will calculate the interest earned by Robert after 1 year.

User Lebert
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2 votes
period of investment in years is the answer
User Asif Khan
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