Answer:
The amount of time is 2 years.
Step-by-step explanation:
To find the time, we use the simple interest formula;
I = P × R × T / 100
Where I is the interest , P is the principal amount, R is the rate, T is the time in years and I is the interest.
From the question given,
interest(I) = $30
principal (p) =$500
Rate (R) = 3%
Time (T) is what we are asked too find.
We can now proceed to substitute the values into the formula;
I = P × R × T / 100
$30 = $500×3×T / 100
$30 = $1500 T / 100
Multiply 100 to both-side of the equation
$30×100 =$ [tex]\frac{1500T}{100}[/tex] × 100
$3000 = $1500 T
Divide both-side of the equation by $1500 to get the value of T
[tex]\frac{3000}{1500}[/tex] = [tex]\frac{1500T}{1500}[/tex]
2 = T
T = 2 years
Therefore the amount of time is 2 years.
