Use the Formula a = P(1 + Rt) to Find

question 96

Multiple Choice

Use the formula A = P(1 + rt) to find the indicated quantity.
-A = $16,400; r = 10%; 90 days. Find P.

• A) $16,400
• B) $400.00
• C) $16,000
• D) $16,810

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Definitions:

Retail Business

A business entity that sells goods or services directly to consumers.

Service Business

A business that provides intangible products or services to customers.

Gross Profit

The difference between sales and the cost of goods sold, representing the profit from buying and selling goods before other expenses are taken out.

Cost of Merchandise Sold

The total expense incurred by a company to buy or manufacture the goods sold during a period.