Question

I = $60, P = $750, r = 4%, t = ?. Find the amount of time

Answer 1

The time required to accumulate simple interest of $ 60.00

from a principal of $ 750.00 at an interest rate of 4% per year is 2 years.

Explanation:

Given

• Interest I = $60

• Principle P = $750

• Interest rate r = 4% = 0.04

To determine

Time period t = ?

Using the formula

I = Prt

t = I / Pr

substitute I = $60, P = $750 and r = 0.04 in the equation

t = 60 / ( 750 × 0.04 )

t = 2 years

Therefore, the time required to accumulate simple interest of $ 60.00

from a principal of $ 750.00 at an interest rate of 4% per year is 2 years.