Answer to Question #246968 in Financial Math for Bee

Question

What is the amount of money that Lebo has to invest, at a simple interest rate of 12% per year,to earn R5 250,00 interest after three years?

Answer 1

$interest=principal\times rate\times time\\525000=p\times\frac{12}{100}\times 3\\525000=0.36p\\p=1458333.3$