Bill Moore is buying a used Winnebago. His April monthly interest at 10% was $128.
What was Bill’s principal balance at the beginning of April? (Use 360 days a year. Do not round intermediate calculations. Omit the "$" sign in your response.)
Principal $ 15,360
Explanation:
$128 = $128 = $15,360
0.10 × 30 / 360 0.00833
Principal $ 15,360
Explanation:
$128 $128
_______________ =________ =$15,360
0.10 × 30 / 360 0.00833
2/10, n/30 $1125 find complement and net amount paid
To find the principal balance at the beginning of April, we need to use the formula for simple interest:
Interest = Principal * Rate * Time
Here, the interest is given as $128, and the rate is 10%. The time is one month (April).
Let's assume the principal balance at the beginning of April is P.
Therefore, we can write the equation as:
128 = P * 0.10 * (1/12)
Now, we can solve for P:
128 = P * 0.0083
Dividing both sides of the equation by 0.0083, we get:
P = 128 / 0.0083
Calculating this, we find:
P ≈ $15,421.69
So, Bill's principal balance at the beginning of April was approximately $15,421.69.