Answer:
Therefore time = 1.23 years.
Step-by-step explanation:
Formula of simple interest:
[tex]I=Prt[/tex]
[tex]I[/tex]= interest in dollar
P= Principal in dollar
r= rate of interest
t= time in years
Given that,
[tex]I[/tex]= $1,400 , P=$27,000 , r=4.2%= 0.042 and t = ?
[tex]I=Prt[/tex]
[tex]\Rightarrow t=\frac{I}{Pr}[/tex]
Putting the value of P, [tex]I[/tex] and r
[tex]\Rightarrow t=\frac{1400}{27000\times 0.042}[/tex]
[tex]\approx 1.23[/tex] years
Therefore time = 1.23 years.
