How much interest does this student owe the university by 12 March 2017?
A
R110.52
B
R161.52
C
R111.52
D
R143.07
Interest at 10% per annum on R300 for 8 months (from 12 July 2016 to 12 March 2017) is calculated as:
Interest = (Principal x Rate x Time) / 100
Interest = (300 x 10 x 8) / 100
Interest = 240
Therefore, the student owes the university R240 in interest by 12 March 2017.
However, since the student has already paid R130.48 of the interest, the remaining interest owed by the student by 12 March 2017 is:
Remaining Interest = Interest - Amount Paid
Remaining Interest = 240 - 130.48
Remaining Interest = 109.52
Therefore, the student owes the university R109.52 in interest by 12 March 2017.
The closest option to this amount is option C: R111.52.