Henry flies from Washington, DC, to Boston, MA. The first flight from Washington, DC, to New York City is one hour 12 minutes. T
he layover in New York City last us two hours 41 minutes. The flight from New York City to Boston lasts one hour 10 minutes. How long Is it from the time the first flight takes off to the time Henry touches down in Boston?
The final value (FV) that is paid in a loan (which is the sum of the capital and the interests) equals the present value (PV) of the loan multiplied by , in a simple interest context, where "n" equals the periods of time and "i" equals the interest rate valid for that periodicity.
Then . In this case, PV=$15,000; final value equals FV=$15,000+1,687.5= $16,687.5.
We should clear "n" from our equation, which means: . Dividing both sides by 15,000, then subtracting 1 both sides, and finally dividing by 0.075 both sides, results in n=1.5.
Then, Malorie had the loan for one an a half periods.