Question

Trey invested in a savings bond for 3 years and was paid simple interest at an annual rate of 2%. The total interest that he earned was $240 . How much did he invest?

Answer 1

`~~~~~~ \textit{Simple Interest Earned} \\\\ I = Prt\qquad \begin{cases} I=\textit{interest earned}\dotfill & \$ 240\\ P=\textit{original amount deposited}\\ r=rate\to 2\%\to (2)/(100)\dotfill &0.02\\ t=years\dotfill &3 \end{cases} \\\\\\ 240 = (P)(0.02)(3) \implies \cfrac{240}{(0.02)(3)}=P\implies 4000=P`