SOLUTION: Liu invested some money for one year at 1.8% simple interest per year.At the end of the year it was worth $1272.50.How much did he invest

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Question 1046572: Liu invested some money for one year at 1.8% simple interest per year.At the end of the year it was worth $1272.50.How much did he invest
Answer by josmiceli(19441) About Me  (Show Source):
You can put this solution on YOUR website!
The formula to use is:
+A+=+P%2A%28+1+%2B+r%2At+%29+
+A+ is the amount he ended up with
+r+ is the interest rate
+t+ is time in years
+P+ is the initial investment
------------------------------------
+A+=+1272.5+
+r+=+.018+
+t+=+1+
+1272.5+=+P%2A%28+1+%2B+.018%2A1+%29+
+1272.5+=+1.018P+
+P+=+1250+
He invested $1,250