Question

On June 21, a company borrowed $8000.00 with an interest rate of 5.7%. The loan was repaid in full on October 11, with payments of $2800.00 on July 5 and $3400.00 on August 10. What was the final payment?

Answer 1

Answer: $2256

Explanation:

1. Firstly, figure out how much should be repaid in total (including the interest rate). 5.7/100 x 8000 = $456

2. Add $456 to $8000 giving it a total of $8456 to be repaid.

3. Subtract $2800, and $3400 from it, leaving a grand total of $2256 to be repaid.