The total amount Leven would pay on the maturity date is; $704076
<h3>How to find maturity amount?</h3>
From 3rd May to October 1st. 2017 there are a total of 151 days.
Now, 365 days = 1 year. Thus;
151 days = 151 × 1/365 = 0.414 years
We are going to use 1 year as one term. Thus
1 year = 1T
T = 0.414
R = 6.86
P = $685000
We use formula for the Amount at the end of term:
A = P(1 + (R/100))^(T)
Where;
A = Amount at the end of term
P = Loan amount
R = Rate of interest
T = No. of terms
Plugging in the relevant values gives;
A = 685000 × (1 + (6.86/100))^(0.414)
A = $704076
==> A= 685000 × 1.02784938489=704076 $
Read more about Maturity Amount at; brainly.com/question/9099365
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