Given:
loan amount = 300
finance charge = 20
term = 14 days.
To solve for APR.
<span>1. Divide the finance charge by the loan amount.
20/300 = 0.0667
2. Multiply the result by 365.
0.0667 x 365 = 24.35
3. Divide the result by the term of the loan.
24.35/14 = 1.74 (APR in decimal format)
<span>
4. Multiply the result by 100.
1.74 x 100 = 174% APR</span></span>
add the fractiosn together, since they all have the same denominator, simply add the numerators
1/4+2/4+3/4=6/4
or
1 1/2 yards of fabric (2/4 = 1/2)
The amount of money borrowed is $ H
Time for borrowing is 25 years
Amount paid per month M
Amount paid per year 12M
Interest rate paid=I
Let the payment method be simple interest method, then:
I=(PRT)/100
plugging in our values we have:
I=(H×R×M)/100
hence:
I=HRM/100
The answer is 240.5 hope you get the question
