Answer:
The amount to be repaid is $379.26.
Step-by-step explanation:
Period of note from May 1 to December 19 = 233 days
Amount of note or principal = $1,000
Simple interest rate = 8.5%
Maturity date = December 19
Repayments:
June 2 = $475
Nov. 4 = $200
Total paid $675
Simple interest = $54.26 ($1,000 * 8.5% * 233/365)
Total amount to be repaid = $1,054.26
Total amount repaid = 675.00
Balance to be paid on maturity $379.26
