Find the interest due to the bank on a loan of $1000 at 7.5% for 280 days

Question

asked Apr 12, 2019 166k views

1 Answer

Henry Yang · Answer 1 · 2019-04-17T07:03:10+0000

Answer:

The interest is
$\$57.53$

Explanation:

we know that

The simple interest formula is equal to

I=P(rt)

where

I is the Final Interest Value

P is the Principal amount of money to be invested

r is the rate of interest

t is Number of Time Periods

in this problem we have

$t=280/365\ years\\ P=\$1.000\\r=0.075$

substitute in the formula above

$I=\$1.000(0.075*280/365)$

$I=\$57.53$