Question

If you put money into a savings account that earns $20 over two years at a rate of 10% how much money did you put into the account

Answer 1

Explanation:

We can use the simple interest formula to solve this problem:

I = P x r x t

where:

I = interest earned

P = principal or amount of money invested

r = interest rate

t = time period

In this case, we know that the interest earned is $20, the interest rate is 10% per year, and the time period is 2 years. We can plug these values into the formula and solve for the principal P:

$20 = P x 0.10 x 2

$20 = P x 0.20

P = $20 / 0.20

P = $100

Therefore, you put $100 into the savings account.