Question 25741
The formula for interest;
I=prt
I=interest
p=principal
r=rate
t=time
So you are given everything except p;
I=1260
r=7%
t=1
So, with those amounts we solve for p;
1260=p(.07)1
multiply (.07)1;
1260=p(.07)
Now divide each side by (.07)
{{{1260/.07}}}={{{p(.07)/.07}}}
18,000=p
So $18,000 was invested at 7%, so $20,000-$18,000=$2,000
at 6% $2,000 was invested
Hope you understand
=)