SOLUTION: What’s the correct formula to use for this Amanda account earned $600 in interest. If the interest rate(in decimal form) is 0.03

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Question 1155016: What’s the correct formula to use for this
Amanda account earned $600 in interest. If the interest rate(in decimal form) is 0.03
Found 2 solutions by josmiceli, ikleyn:
Answer by josmiceli(19441) About Me  (Show Source):
You can put this solution on YOUR website!
If that's all the information, then it is
a simple interest problem. For simple
interest:
+I+=+P%2Ar%2At+
where:
+I+ = interest earned
+P+ = amount invested
+r+ = interest rate
+t+ time in years of investment
---------------------------
This problem sounds like it is for 1 year, so
+I+=+P%2Ar%2At+
+600+=+P%2A.03%2A1+
+P+=+600+%2F+.03+
+P+=+20000+
$20,000 was her amount invested

Answer by ikleyn(52886) About Me  (Show Source):
You can put this solution on YOUR website!
.

On simple interest introductory problems, see the lesson
    - Simple interest percentage problems
in this site.

Learn the subject from there.

Consider this lesson as your textbook,  handbook,  tutorial and  (free of charge)  home teacher.