Posted by **Ekanki** on Monday, April 23, 2012 at 10:07pm.

On September 20, Jody Jansen went to Sunshine Bank to borrow $3,900 at 5% interest. Jody plans to repay the loan on January 27. Assume the loan is on ordinary interest. (Use table value)

(a)

What interest will Jody owe on January 27? (Use 360 days a year. Do not round intermediate calculations. Round your answers to 2 decimal places. Omit the "$" sign in your response.)

b)

What is the total amount Jody must repay at maturity? (Do not round intermediate calculations. Round your answers to 2 decimal places. Omit the "$" sign in your response.)

- business Maths -
**Ekanki**, Monday, April 23, 2012 at 10:11pm
A) Interest $ 69.87

B) Maturity value $ 3,969.87

Explanation:

a:

365

Sept. 20= – 263

________

102

+ 27

__________

129

$3,900 ×0.05 × 129/360 = $69.88 interest

b:

$69.88 + $3,900 = $3,969.88

## Answer this Question

## Related Questions

- business mat - On September 14, Jennifer Rick went to Park Bank to borrow $2,...
- math - Jennifer Rick went to Sunshine Bank to borrow $3,500 at a rate of 10¾%. ...
- math - On september 28, Jennifer Rick went to Park Bank to borrow $4,500 at ...
- Simple Interest & Maturity Value - On September 7, Jennifer Rick went to Park ...
- Business math - On sept 14 Jennifer went to bank to borrow 4400 at 10.25% ...
- business Maths - On September 14, Jennifer Rick went to Park Bank to borrow $2,...
- Business Math - On September 14, Jennifer Rick went to Park Bank to borrow $2,...
- math - Janet Home went to Citizen Bank. She borrowed $7,000 at a rate of 8 ...
- math - Janet Home went to Citizen Bank. She borrowed $7,000 at a rate of 8 ...
- home economics - Janet Home went to Citizen Bank. She borrowed $7,000 at a rate ...