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Chapter 2: Q. 400 (page 274)

In the following exercises, use the formula I = Prt

Solve for the principal, P for鈸� I = $5,480, r = 4%, t = 7 years 鈸� in general .

Short Answer

Expert verified

a.Thesimplifiedvalueisp=19571.428

Step by step solution

01

Step 1. Given information

The given equation is

We have Solve for the principal, P for鈸� I = $5,480, r = 4%, t = 7 years 鈸� in general .

02

Step 2. Explanation

Solve:Writetheformula鈬�I=Prt鈬�5480=P(0.04)(7)(Substitute)鈬�5480=P(0.28)(Simplify)鈬�54800.28=P(0.28)0.28(DividebothsidestoisolateP)鈬�19571.428=P(Simplify)Thesimplifiedvalueisp=19571.428

03

Part b. Step 3. Explanation

IngeneralWritetheformula.鈬�I=Prt鈬�I=P(rt)(Simplify)鈬�Irt=P(rt)rt(DividebothsidestoisolateP)鈬�Irt=P(Simplify)Ingeneralp=Irt

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