Answer:
i) 3.38%
ii) 23846 pesos
Step-by-step explanation:
The formula for Simple Interest =
Principal × Rate × Time
Simple Interest is calculated as:
Amount(after t years) - Principal(initial amount
From the question,
Amount = 2480000 pesos
Principal = 2323000 pesos
Simple Interest = (2480000 - 2323000)pesos
= 157000 pesos
i. What is the simple interest rate the electronics store is charging if he ends up paying it 2480000 pesos in total?
This means we are to find r, hence:
Simple Interest = Principal × Rate × Time
Time = 2 years
157,000= 2323000 × R × 2
R = 157,000/2323000 × 2
R = 157,000/4646000
R = 0.03379250968
Simple Interest rate = 0.03379250968
Converting to percentage
= 3.379250968%
≈ Approximately 3.38%
ii. How much is weekly payment to the electronics store? Round your answer to the nearest Peso.
We are told in the question that:
Fernando pays the electronic store in weekly installments over two years.
52 weeks = 1 year
Hences
2 years = 52 × 2 = 104 weeks
Weekly payments = 2480000 pesos/104 weeks
= 23846.1538462 pesos
Approximately to the nearest peso = 23846 pesos
