Algebraically manipulating the formula I = Prt, find the principal (PV) deposited in a savings account which earned $11,000 in interest at a simple interest rate of 9.5% for 15 years to the nearest whole cent).

$7,312.07
$8,083.92
$7.719.30
$6,987.44
None of these choices are correct.

the required principal value is $7,719.30

Step-by-step explanation:

Given: Formula to calculate interest : I= Prt, P=principal value, r = rate of interest, t = time.

I = $11,000

r= 9.5% = 0.095

t= 15 years

Substitute in formula, we get

Hence, the required principal value is $7,719.30

answer: c, the green line

step-by-step explanation:

there is no black line, eliminate b.

simple interest implies periodic payments, but the red line shows no payments, eliminate d.

simple interest has equal payments. if paid say every day, the graph is about a straight line (actually a stairstep).

the yellow line is not straight, eliminate a.

check: the green line is straight, answer is c.

simple interest with positive interest rate gives a straight line sloping up to the right. green line:

g(t) = $100 + ($200-$100) ÷ (20 years) × (t years)

= $100 + (4%/year) × ($100)(t years)

incidentally, the yellow line curving upward represents continuously compounded interest

y = $100 × 2^(t years / (14 assuming the yellow line hits $200 at 14 years. 2^0 is 1, so y(0) = $100; 2^(14/14) is 2, so y(14) = $200.