Question

How much should you invest at 4.7% simple interest in order to earn $95 interest in eight months

Answer 1

bearing in mind that, 8months of 12 months total for a year, is 8/12, that is 2/3... then


`\bf \qquad \textit{Simple Interest Earned}\\\\ I = Prt\qquad \begin{cases} I=\textit{interest earned}\to &\$95\\ P=\textit{original amount deposited}\\ r=rate\to 4.7\%\to (4.7)/(100)\to &0.047\\ t=years\to (8)/(12)\to &(2)/(3) \end{cases} \\\\\\ 95=P\cdot 0.047\cdot \cfrac{2}{3}`

solve for P