Question

Juanita borrowed $600 to purchase a new computer. She was charged 7% interest for two years. She used the simple interest formula to find the interest.
I = 600(7)(2)

What error did Juanita make and how will her error affect the interest she calculates? Explain.

Answer 1

Answer:

• See below

Step-by-step explanation:

Correct way of using the formula:

• I = 600*(7/100)(2) = 84

The error was using 7 instead of 7/100 or 0.07 as percent value. She would get $8400 instead of $84.

Answer 2

Given :-

• Juanita borrowed $600 .
• Rate of Interest = 7% .
• Time = 2yrs .

To find :-

• Error made by her.

Answer :-

As we know that the formula for Simple interest is ,

• SI = P*R*T / 100

Substitute ,

• I $600* 7 * 2 / 100
• I = $ 84 .

So here she did not write 7 % as 7/100 instead she wrote 7 .