ok distribute the 6 by multiplying it by 1q and -5
5=6q-30-19
Now subtract 30-19
5=6q-11
add 11 to both sides
16=6q
divide both sides by 6
q= 16/6
simplify
16/2=8, 6/2=3
q=8/3
Radius is half of the diameter so it's 7 for the diameter.
To get the effective interest rate (EIR) of the loan, determine first whether we will use a simple interest method or a discounted method. In this case, we will use a discounted method because the loan is a discounted one. In a discounted method, interest is deducted from the loan principal. So the formula will look like this:
EIR = Interest ÷ (Principal - Interest)
Before proceeding any further, solve first for interest. (assuming a 360-day year)
Interest = Principal × rate × interest
= $2950 × (100/360) × (0.085)
= $69.65
Thus, EIR can be computed as follows:
EIR = ($69.65 ÷ ($2950 - $69.65)) × 360
≈ 8.7%
Notice that the EIR was multiplied by 360 to return it to an annual rate.
