type the correct answer in the box. spell all words correctly. what amount do you need to invest to obtain…

type the correct answer in the box. spell all words correctly. what amount do you need to invest to obtain $20,000 at 6 percent simple interest per year, after ten years? you need to invest $ at 6 percent simple interest to obtain $20,000 after 10 years.

type the correct answer in the box. spell all words correctly. what amount do you need to invest to obtain $20,000 at 6 percent simple interest per year, after ten years? you need to invest $ at 6 percent simple interest to obtain $20,000 after 10 years.

Answer

Explanation:

Step1: Recall simple - interest formula

The simple - interest formula is $A = P(1+rt)$, where $A$ is the final amount, $P$ is the principal amount (initial investment), $r$ is the annual interest rate (in decimal form), and $t$ is the time in years. Given $A=$20000$, $r = 0.06$ (since 6%=0.06), and $t = 10$.

Step2: Rearrange the formula to solve for $P$

Starting from $A = P(1+rt)$, we can solve for $P$ by dividing both sides of the equation by $(1 + rt)$. So $P=\frac{A}{1+rt}$.

Step3: Substitute the values

Substitute $A = 20000$, $r=0.06$, and $t = 10$ into the formula: $P=\frac{20000}{1+(0.06\times10)}$. First, calculate the value inside the parentheses: $0.06\times10 = 0.6$, then $1+0.6=1.6$. Then, $P=\frac{20000}{1.6}=12500$.

Answer:

12500