How much should you invest at $4.4 \%$ simple interest in order to earn $\$ 75$ interest in 16 months? Question Help: $\square$ Video $\square$ Message instructor Submit Question

Step 1 ：Given that the interest earned (I) is $75, the rate of interest (R) is 4.4% or 0.044, and the time (T) is 16 months or \(\frac{16}{12}\) years.

Step 2 ：We need to find the principal amount (P) that should be invested. We can use the formula for simple interest, which is I = PRT, and rearrange it to solve for P: P = I / (RT).

Step 3 ：Substituting the given values into the formula, we get P = 75 / (0.044 * \(\frac{16}{12}\)).

Step 4 ：Solving the equation, we find that P is approximately 1278.41.

Step 5 ：\(\boxed{1278.41}\) is the amount that should be invested to earn $75 interest in 16 months at a rate of 4.4%.