# You want to put some money in a simple interest account, it pays 8% interest annually for 2 years. You would like to earn $500 in interest How much money do you need to put in?

##### 1 Answer

Nov 1, 2016

#### Answer:

#### Explanation:

The formula for simple interest is

We know all the values except the amount to be invested,

Re-arrange the formula and substitute the known values:

Check:

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