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After 88 years, Susan's account earned $900$⁢900 in interest. If the interest rate (in decimal form) is 0.10.1, how much did Susan initially invest?Susan's Bank StatementInterest Earned $900$⁢900Rate 0.10.1Time 88 YearsPrincipal Invested ?Step 1 of 3: Choose the correct formula:

Question

After 88 years, Susan's account earned 900900⁢900 in interest. If the interest rate (in decimal form) is 0.10.1, how much did Susan initially invest?Susan's Bank StatementInterest Earned 900900⁢900Rate 0.10.1Time 88 YearsPrincipal Invested ?Step 1 of 3: Choose the correct formula:

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Solution

The formula we need to use is the simple interest formula, which is:

I = PRT

where: I = Interest earned P = Principal amount (initial investment) R = Rate of interest T = Time

Step 2 of 3: Substitute the given values into the formula:

$900 = P * 0.1 * 88

Step 3 of 3: Solve for P:

P = $900 / (0.1 * 88)

Calculate the value of P to find out how much Susan initially invested.

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