SOLUTION: How much must be invested into an account at 4% simple interest so that the balance is $2000 in 5 years?

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Question 370521: How much must be invested into an account at 4% simple interest so that the balance
is $2000 in 5 years?
Answer by stanbon(75887) About Me  (Show Source):
You can put this solution on YOUR website!
How much must be invested into an account at 4% simple interest so that the balance is $2000 in 5 years?
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A(t) = P(1+rt)
Solve:
2000 = P(1+0.04*5)
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2000 = P(1.2)
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P = 2000/1.2 = $1666.67
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Cheers,
Stan H.