Question:

Can some one figure what P's value is and show all steps?

by  |  earlier

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A = P (1+i over 100)t is up like a power

A= $628

t= 10 years

i=8%

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  1. a = p * (1 + i / 100)^t

    p = a / (1 + i / 100)^t

    p = $628 / (1 + 8 / 100)^10

    p = $628 / 1,08^10

    p = $628 / 2,16

    p = $290,74 (initial amount)


  2. this is a problem of compound interest

    A = P(1+ i)^t

    P = A/ (1+ i)^t

    = 628/(1+ .08)^10

    = 626/(1.08)^10

    = 628/2.158225

    =290.88

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