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Kryger [21]
3 years ago
14

Nolan Walker decided to buy a used snowmobile since his credit union was offering such low interest rates. He borrowed $4,400 at

4.75% on December 26, 2019, and paid it off February 21, 2021. How much did he pay in interest? (Assume ordinary interest and no leap year) (Use Days in a year table) (Do not found intermediate calculations. Round your answer to the nearest cent.) 56 Interest paid 5 24600 References
Mathematics
1 answer:
Serhud [2]3 years ago
5 0

Answer:

He paid $253.09 in interest.

Step-by-step explanation:

To find how much did he pay in interest, we use the simple intrest formula, that is given by:

I = Prt

In which I is the value paid in interest, P is the money borrowed, r is the yearly interest rate and t is the time.

In our problem, we have that:

He borrowed $4,400, so P = 4,400

At 4.75% yearly. We measure the time in days, so we have to divide this value by 365. So r = \frac{0.0475}{365}.

From December 26, 2019 to February 21, 2021, there are 422 days, so t = 422.

I = Prt

I = 4,400\frac{0.0475}{365} 422

I = 253.09

He paid $253.09 in interest.

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