Tahmar knows the formula for simple interest is I = Prt, where I represents the simple interest on an amount of money, P, for t years at r rate. She transforms the equation to isolate P : P = P : P equals StartFraction I Over r t EndFraction.. Using this formula, what is the amount of money, P, that will generate $20 at a 5% interest rate over 5 years?

Respuesta :

Answer:   $80

Work Shown:

i = 20 = interest we want to earn

r = 0.05 = decimal form of the annual interest rate

t = 5 = number of years

P = i/(r*t)

P = 20/(0.05*5)

P = 80

Answer:

80

Step-by-step explanation:

i got it right

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