Question

The chief business officer of a construction equipment company arranges a loan of $9,300, at 12 1 /8 % interest for 37.5 months. Find the amount of interest. (Round to the nearest cent)

a. $2,761.21


b. $3,583.83


c. $3,523.83


d. $3,722.47

Answer 1

C). $3523.83

Explanation:

loan of principles p= $9,300,

at rate R= 12 1 /8 % interest

Rate R = 12.125%

for duration year T = 37.5 months

T= 37.5/12 = 3.125 years

Interest I=PRT/100

Interest I =( 9300*12.125*3.125)/100

Interest I = (352382.8125)/100

Interest I = 3523.83

Interest I= $3523.83