Question

You decide to buy a 60 in plasma-screen tv. you borrow $4300 from the electronics store at 1.8% per month simple interest, with no payments due for 2 years from the date of purchase. how much will you owe on the loan after 15 months? round your answer to the nearest whole dollar.

Answer 1

To calculate the amount owed on the loan after 15 months, you need to calculate the amount of interest that accrues during that time. First, calculate the total interest accrued by multiplying the loan amount by the interest rate and time. Then, add the total interest accrued to the loan amount to get the total amount owed. Round the total amount owed to the nearest whole dollar.

Step-by-step explanation:

To calculate the amount owed on the loan after 15 months, we need to calculate the amount of interest that accrues during that time. The interest rate is 1.8% per month, so after 15 months, the total interest accrued would be 1.8% of the loan amount multiplied by 15.

First, we calculate the total interest accrued: Total interest accrued = Loan amount imes Interest rate imes Time

Next, we add the total interest accrued to the loan amount to get the total amount owed: Total amount owed = Loan amount + Total interest accrued

Finally, we round the total amount owed to the nearest whole dollar.

Answer 2

4300 is your principal

1.8% interest rate (change it into decimal form; 0.018)

2 years is our time

We'll now multiply our variables.

4300 x 0.018 x 2 = 154.80

This shows that in 2 years at their interest rate that they have earned 154.80.

We will add the $154.80 to the original borrowed amount of 4300.

$4454.80 will be how much they will owe after 2 years.

To find out the amount in 15 months we'll divide 15 months by 12 and we get 1.25 and now we multiply the numbers again.

4300 x 0.018 x 1.25 = 96.75

They will pay $96.75 in interest within 15 months and we'll add it to the 4300.

$4397 will be how much they will pay after 15 months.