Answer :
To solve this problem, we can use the formula for simple interest:
I = P * r * t
Where:
I is the interest earned
P is the principal amount (initial amount)
r is the interest rate per period
t is the time in years
In this case, we have:
P = K2200
I = K2511.67
r = 4.25% = 0.0425 (expressed as a decimal)
We need to find the value of t.
Let's plug in these values into the formula and solve for t:
2511.67 = 2200 * 0.0425 * t
Now, let's solve for t:
2511.67 = 93.5 * t
Divide both sides of the equation by 93.5:
t = 2511.67 / 93.5
t ≈ 26.88
Therefore, after approximately 26.88 years, the principal of K2200 will amount to K2511.67 at a simple interest rate of 4.25% per annum.
Now, let's move on to a quiz to check your understanding! Here's the first question:
Quiz Question 1: What is the formula for calculating simple interest?
a) I = P * r * t
b) P = I * r * t
c) I = P / r * t
d) P = I / r * t
I = P * r * t
Where:
I is the interest earned
P is the principal amount (initial amount)
r is the interest rate per period
t is the time in years
In this case, we have:
P = K2200
I = K2511.67
r = 4.25% = 0.0425 (expressed as a decimal)
We need to find the value of t.
Let's plug in these values into the formula and solve for t:
2511.67 = 2200 * 0.0425 * t
Now, let's solve for t:
2511.67 = 93.5 * t
Divide both sides of the equation by 93.5:
t = 2511.67 / 93.5
t ≈ 26.88
Therefore, after approximately 26.88 years, the principal of K2200 will amount to K2511.67 at a simple interest rate of 4.25% per annum.
Now, let's move on to a quiz to check your understanding! Here's the first question:
Quiz Question 1: What is the formula for calculating simple interest?
a) I = P * r * t
b) P = I * r * t
c) I = P / r * t
d) P = I / r * t
Answer:
Step-by-step explanation:
Find the total interest:
2511.67 - 2200 = K 311.67
interest = principle * decimal interest rate * years
311.67 = 2200 * .0425 * years
years = 311.67 / ( 2200* .0425) = 3.33 years
