At&t bought a new computer system. The company borrowed. $46,100 at 6 1/3% for 155 days. Find the interest owed?
I = PRT
I = 46,100 * 0.06333 * 0.42466
I = ?
1239.2130858
Not exactly.
Be sure to round to the nearest cent.
1239.80
Right.
To find the interest owed, we can use the formula:
Interest = (Principal x Rate x Time) / 100
Where:
- Principal is the amount borrowed ($46,100 in this case)
- Rate is the interest rate (6 1/3% or 6.33% in decimal form)
- Time is the number of days (155 days in this case)
First, let's convert the interest rate to a decimal:
6 1/3% = 6.33% = 6.33/100 = 0.0633
Now, we can substitute the values into the formula:
Interest = (46,100 x 0.0633 x 155) / 100
Calculating this, we get:
Interest = (46,100 x 0.0633 x 155) / 100
= 458,091.15 / 100
= $4579.15
Therefore, the interest owed on the borrowed amount of $46,100 at an interest rate of 6 1/3% for 155 days is $4579.15.