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Chapter 6: Problem 47

Solve each formula for the specified variable. Do you recognize the formula? If so, what does it describe? \(I=\operatorname{Prt}\) for \(P\)

Short Answer

Expert verified
To make \(P\) the subject of the formula in the given equation, rearrange the equation to be \(P = \frac{I}{rt}\)

Step by step solution

01

Understanding the Formula

The formula given is used to calculate the simple interest: \(I = Prt\), where \(I\) is the interest, \(P\) is the principal amount, \(r\) is the rate of interest per time period and \(t\) is the time the money is borrowed or invested for.
02

Isolate P

To isolate \(P\) (the principal amount), divide both sides of the equation by \(rt\). So, \(P = \frac{I}{rt}\)
03

Interpret The Result

This new formula, \(P = \frac{I}{rt}\), gives us a way to determine the principal amount given the interest, the rate, and the time period.

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