How do I find the variable "P" if the interest rate is 6% the time is 3 years and the simple interest is $2952?
my answer is P=16,400
I took the simple interest- 2952 and divided it by 3 years= 984- so you are getting 984.00 interest per year
then take the 984 you get each year and divide it by your interest rate =0.06 and you get 16,400
to check yourself-- take 16,400 and multiply it by 0.06 and you get 984 (the interest you get each year) and multiply it by 3 years and you get 2952--total interest
You can also do it this way: take the total interest 2952 and divide it by the interest rate 0.06 and you get 49,200, then divide that by 3 years and you get 16,400= principal