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gayaneshka [121]
3 years ago
8

Valerie wants to take out a discount loan of $569. The rate is 4.5% for 250 days. How much interest will she pay? (Be sure to ro

und the time to the nearest hundredth.
Mathematics
2 answers:
lina2011 [118]3 years ago
8 0

The interest is computed from

... I = Prt

where P is the principal amount ($569), r is the rate (0.045) and t is the time in years (250/360).

... I = $569×0.045×250/360 ≈ $17.78

Please note that time is not rounded. Rather, the exact value (25/36) is used in the calculation. The only rounding of any number is done at the end, where the amount is rounded to the nearest cent. (Your text authors should know this.)

_____

If you follow the problem instructions (which Valerie's lender will <em>not</em> do), the interest is calculated as ...

... t = 250/360 = 0.6944444... ≈ 0.69 . . . . years

... I = $569×0.045×0.69 ≈ $17.67

_____

Note the rounding of intermediate numbers (time) introduces an error of about $0.11 in the answer.

ElenaW [278]3 years ago
4 0

Answer:$17.41 (A+)


Step-by-step explanation:


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