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use the formula ap1rt. The given equation is. Use the formula AP1r2 to find what the rate of interest is if a principal amount of 4000 grows to 510760 in 2 years if interest compounded annually.
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A P 1 rt where P is the Principal amount of money to be invested at an Interest Rate R per period for t Number of Time Periods. Divide each term in P 1 r t A P 1 r t A by P P. Note that rate R r and time t should be in the same time units such as months quarters or years.
I A - P is the interest.
Divide each term in P 1 r t A P 1 r t A by P P. A P 1 rt. P 1rt A P 1 r t A. I Interest Amount.
