What sum of money will amount to D10,400 in 5 years at 6%...
What sum of money will amount to D10,400 in 5 years at 6% simple interest?
D8,000.00
D10,000.00
D12,000.00
D16,000.00
Correct answer is A
A = P + 1
I = A - P
= 10,400 - P
Now using I = P×T×R100
i.e. 10,400 - P = P×5×6100
= 100(10,400 - P) = 30P
10(10,400 - P) = 3P
104,000 - 10P = 3P
104,000 - 10P = 3P
104,000 = 3P + 10P
= 104,000 = 13P
P = 104,000100
P = D8,000
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