Problema Solution
800 invested at r% per annum simple interest for a period of 3 years yields 168. Calculate the value or r.
Answer provided by our tutors
Using the formula for simple interest:
I = P*r*t
knowing that:
P = $800
t = 3 years
I = $168
we have:
800*r*3 = 168
........
click here to see the equation solved for r
........
r = 0.07 or 7%