If a man earns $420 interest in one year at 7%, what was the amount of money invested?

1 Answer
Apr 5, 2017

Answer:

#P = $6000#

Explanation:

Because the time is only one year, it does not matter whether we use compound or single interest.

#I = (PxxRxxT)/100#

#420 = (P xx 7 xx 1)/100" "larr# solve for #I#

#420 xx100 = 7P#

#P = (420xx100)/7#

#P = $6000#