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GarryVolchara [31]
3 years ago
14

On April 3rd nears flag company borrowed 10,000 dollars to pay for start up costs the loan had a simple interest rate of 6.25 pe

rcent for 230 days the company made partial payments of 5000 dollars on May 28th and 3500 on October 12 how much will the company owe on the date of maturity
Mathematics
1 answer:
Alchen [17]3 years ago
8 0

Answer:

At the end of the maturity, company owes  $1893.75.

Step-by-step explanation:

The principal amount borrowed = $10,000

Rate of interest = 6.25%

Time (in year)  = 230 days =(230/365) year

Simple Interest = \frac{P\times R \times T}{100}

So, here SI =  \frac{10,000 \times 6.25 \times 230}{ 365 \times 100}

= $393.75

So, simple interest after 230 days = $393.75

Now, the amount to be  paid after the end of 230 days = Principal + interest

A = $10,000 + $393.75  =   $ 10,393.75

The total partial payment made within year = $3500 + $5000 = $8500

So, the remaining payment = Total amount - Total partial payments

=  $ 10,393.75 - $8,500    = $1893.75

Hence, at the end of the maturity, company owes  $1893.75.

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