Raimo borrowed $760 from Chris on October 10 and agreed to repay the debt with simple interest at the rate of 4.4% on May 11.
How much interest was owed on May 11? Assume that February has 28 days. (Round your answer to the nearest cent.)
Check: I counted 213 days.
I = Po*r*t = 760*(0.04/365)*213 =
Correction: Change 0.04 to 0.044.
19.7296
$7122.72
To calculate the interest owed on May 11, we will need to use the formula for simple interest:
Interest = Principal × Rate × Time
In this case, the principal (amount borrowed) is $760, and the rate is 4.4%. However, we need to adjust the time because the period from October 10 to May 11 spans multiple months.
From October 10 to November 10, there are 31 days.
From November 10 to December 10, there are 30 days.
From December 10 to January 10, there are 31 days.
From January 10 to February 10, there are another 31 days.
From February 10 to March 10, there are 29 days (accounting for the leap year).
From March 10 to April 10, there are 31 days.
Finally, from April 10 to May 11, there are 31 days.
Adding up all these days, we have a total of 184 days. Since February has 28 days, we subtract 3 days (from October) and add 1 day (to include February) to the total.
Now we can substitute the values into the formula:
Interest = $760 × 0.044 × (184/365)
Calculating this, we find:
Interest ≈ $19.14
Therefore, the interest owed on May 11 is approximately $19.14.