Janet took out a loan of $50,000 from Bank of America at 8 percent on March 19, 2006 which is due on July 8, 2006. Using exact interest, the amount of Janet's interest cost is: (Points : 1)

$5,018.44
$2,561.44
$5,261.44
$5,216.44
None of these

See related questions below.

2561.44

5216.44

To calculate the interest cost of Janet's loan, we will need to use the following formula:

Interest = Principal × Rate × Time

Where:
Principal = $50,000
Rate = 8% (or 0.08 as a decimal)
Time = The number of days between March 19, 2006, and July 8, 2006

To find the number of days between two dates, we can use a date calculator or manually count the days. In this case, counting the days, we have:

March 19 to March 31: 13 days
April: 30 days
May: 31 days
June: 30 days
July 1 to July 8: 8 days

So, the total number of days is:
13 + 30 + 31 + 30 + 8 = 112 days

Now, let's calculate the interest cost:

Interest = $50,000 × 0.08 × (112/365)
= $50,000 × 0.08 × 0.307
= $1,230.77

Therefore, the interest cost of Janet's loan is approximately $1,230.77.

None of the answer choices given match this amount. It seems there is an error in the options provided.