If the simple interest on a sum of money at 3% per annum for 2½ years is $123,find the principal?

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If the simple interest on a sum of money at 3% per annum for 2½ years is $123,find the principal?

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Answer 1 · 2018-08-05T19:21:23

$$ 1640$ $$1640$

Explanation:

$Simple interest I is calculated as$ $"Simple interest I is calculated as"$

$∙ x I = P R T$ $•color(white)(x)I=PRT$

$where P is the principal, R is the interest rate and T is$ $"where P is the principal, R is the interest rate and T is"$
$time in years$ $"time in years"$

$note that R = 3 % = \frac{3}{100} = 0.03$ $"note that "R=3%=3/100=0.03$

$divide both sides by RT$ $"divide both sides by RT"$

$(Pcancel(RT))/cancel(RT)=I/(RT)$

$P=($123)/(0.03xx2.5)=$1640$

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If the simple interest on a sum of money at 3% per annum for 2½ years is $123,find the principal?

1 Answer

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