Find the principal. Round to the nearest cent.
-Rate: 4.2%
Time: 300 days
Interest: $19.01
A)$1,901.00
B)$543.14
C)$593.14
D)$54.31

Question

Quizplus · Accepted Answer

To find the principal (P), we use the simple interest formula: I = PRT, where I is the interest, R is the rate (as a decimal), and T is the time (in years). Given I = $19.01, R = 4.2% or 0.042, and T = 300/365 years (since there are 365 days in a year), we solve for P: $19.01 = P * 0.042 * (300/365). Solving for P gives approximately $543.14.

Find the Principal. Round to the Nearest Cent