Question

You received some inheritance from your great-grandparents. You invested the money for 4 years at 6% rate. If your received $2,160 in interest, how much was inheritance

Answer 1

Answer: $9000

Explanation:

Principal= Unknown

Rate = 6%

Time= 4 years

Simple Interest= $ 2160

Simple Interest= (P×R×T) ÷ 100

2160 = P×6×4/100

2160 = 24P/100

Cross multiply

2160 × 100 = 24P

216000 = 24P

Divide both side by 24

216000/24 = 24P/24

P = $9000

The inheritance was $9000.