Question

Find the principal. SHOW ALL WORK to receive FULL CREDIT.

I=P∙r∙t


Interest earned: $45

Principal: ?

Interest rate: 3%

Time: 5 months

Answer 1

300

Explanation:

I = interest earned

P = Principal

R = interest rate

T = Months

plug in all the numbers which would be...

45 = P x 0.03 x 5 *Note that 0.03 is 3% in decimal form

0.03 x 5 = 0.15

45 = P x 0.15

to make the P by itself you have to divide 0.15 to both sides

45/0.15 = 300

P = 300