How To: Solve simple interest algebra problems

Solve simple interest algebra problems

In this math lesson we will learn how to solve problems involving simple interest.

When you deposit money in a savings account, the bank pays you interest at a certain rate called interest rate. There are two types of interest: simple interest and compound interest. In this lesson we will talk about simple interest. We will use the following important formula:

I = prt

I - represents the interest (or the amount of money that the bank will pay you for allowing it to use your savings account).
p – represents the principal (the money you initially deposit)
r – represents the interest rate
t – represents the time in years.

Just updated your iPhone to iOS 18? You'll find a ton of hot new features for some of your most-used Apple apps. Dive in and see for yourself:

7 Comments

How can I solve this problem
Cameron invested three times as much money at 7.95% as he invested at 6.5%. If his yearly simple interest is $282.26, how much money was invested at 6.5%?

How can I solve this problem?
Angelo invested $6000 in two accounts: one that pays 2% and one that pays 3%. At the end of the first year, his total interest earned was 141.80. How much did he deposit in the account that pays 2%?

Here the point is that the sum $6000 is divided into two parts . So we need to add the interest received on 2% and 3% for 1 year which is equal to 141.80. so the equation goes as

let y be the amount invested at 2% so
(y x 1x2)/100+{(6000-y)x1x3}/100=141.80
solving for y we get y ie the money deposited in the account that pays 2% interest is $ 3280.

Amanda's cell phone plan costs$30per month plus $0.35 per minute that she talks more than 250 minutes .If she talked for 320 minutes in September ,what will her phone bill be?

a man invert #20,000 whit a simple interest of x% in bank A and 52,000 whit a simple interest of 1.5% in bank B. find the value of x

How do you solve: CEO deposited part of $22,000 in an account paying 4% annual simple interest. The rest of the money was invested in a biotech company that , after only one year, caused him to lose 3% of his initial investment in it. Find the amount of each investment if the net interest he earned the first year was only 110.

Share Your Thoughts

  • Hot
  • Latest