[tex]\large\underline{\rm\color {black}{PROBLEM}:}[/tex]
- What is the principal amount of the interest rate is 3.5% a year and the amount of interest is 183.75 for 21 months?
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[tex]\large\underline{\rm\color {black}{ANSWER}:}[/tex]
- [tex]\small\underline\bold\color {white}{P \: = \: 89.223653}[/tex]
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[tex]\sf\underline\color {black}{GIVEN:}[/tex]
- [tex]\small\underline\bold\color {white}{r \: = \: 3.5\% \: = \: 0.035}[/tex]
- [tex]\small\underline\bold\color {white}{k \: = \: 1}[/tex]
- [tex]\small\underline\bold\color {white}{f \: = \: 183.75}[/tex]
- [tex]\small\underline\bold\color {white}{t \: = \: 21}[/tex]
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[tex]\sf\underline\color {black}{FORMULA:}[/tex]
- [tex]P \: = \: \frac{F}{(1 \: + \: \frac{r}{k}) {}^{kt} } \\ [/tex]
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[tex]\large\underline{\rm\color {black}{SOLUTION}:}[/tex]
- [tex]P \: = \: \frac{183.75}{(1 \: + \: \frac{0.035}{1}) {}^{1(21)} } \\ [/tex]
- [tex]P \: = \:89.223653[/tex]
⟹ Hence, the principal amount is 89.223653.
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[tex]\tiny\color{darkorange} {{\tt{CarryOnLearning:)}}}[/tex]
