Answer:
B) $471.60
Explanation:
To calculate the total payment required to pay off the promissory note, we'll use the formula for simple interest:
Total payment = Principal + Interest
Where Interest = Principal × Rate × Time
Given:
Principal = $450.00
Rate = 12% (0.12 as a decimal)
Time = 180 days (convert to years by dividing by 365)
First, calculate the interest:
Interest = $450.00 × 0.12 × (180/365)
Now add the interest to the principal to get the total payment:
Total payment = $450.00 + Interest
Calculate the values and find the total payment:
Total payment ≈ $450.00 + $21.42 ≈ $471.42
The closest answer choice is:
B) $471.60