Find the interest due to the bank on a loan of $1,000 at 7.5% for 280 days.
57.53
57.53 is correct for all school assignments including SOS
57.53 not right for SOS
To find the interest due on a loan, we can use the formula:
Interest = Principal * Rate * Time
Where:
- Principal is the amount of money borrowed or invested ($1,000 in this case)
- Rate is the interest rate per period (7.5% or 0.075 in decimal form)
- Time is the length of time the money is borrowed or invested (280 days)
First, let's convert the interest rate from a percentage to a decimal:
Rate = 7.5% = 7.5/100 = 0.075
Next, let's convert the time from days to years since the interest rate is typically mentioned on an annual basis:
Time = 280 days / 365 days in a year ≈ 0.7671 years
Now, we can calculate the interest using the formula:
Interest = $1,000 * 0.075 * 0.7671
Plugging in the values:
Interest = $57.53
Therefore, the interest due to the bank on a loan of $1,000 at 7.5% for 280 days is approximately $57.53.
38.05 not right for SOS two
38.05
I = PRT
I = 1000 * 0.075 * 0.7671