document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=1151432>Question 1151432</A>: <I><SPAN STYLE=\"word-break: break-all;\"> It took her 9 more months but Marina has managed to save the full $750 plus more to cover fees to pay off the pay-day loan company.  However, she forgot to account for the interest that had been compounding over time.  Consider it is now 275 days later, the remaining loan was $750 and the APR is 47% compounded daily.  \r<BR>\n" );
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document.write( "What is the total amount that Marina must now pay in order to pay off her the loan, accounting for interest? \r<BR>\n" );
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document.write( "What is the total amount of interest paid (not including fees)?  </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #773267 by </B><A HREF=/tutors/aboutme.mpl?userid=Theo><B>Theo(13342)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=Theo><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/cgi-bin/show-face.mpl?user=Theo><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=773267\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> she loaned 750 dollars.<BR>\n" );
document.write( "it took her 9 months to repay it.<BR>\n" );
document.write( "it was 275 days since she took out the loan.<BR>\n" );
document.write( "the interest rate was 47% per year compounded daily.<BR>\n" );
document.write( "the daily interest rate would be 47% / 365 / 100 = .0012876712 per day.<BR>\n" );
document.write( "this assumes 365 days in a year, which is the standard assumption that i know of.<BR>\n" );
document.write( "the future value of 750 for 275 days would be based on the formula of f = p * (1 + r) ^ n<BR>\n" );
document.write( "f is the future value<BR>\n" );
document.write( "p is the present value<BR>\n" );
document.write( "r is the interest rate per time period (days in this case)<BR>\n" );
document.write( "n is the number of time periods (days in this case).<BR>\n" );
document.write( "the formula becomes:<BR>\n" );
document.write( "f = 750 * (1 + .0012876712) ^ 275<BR>\n" );
document.write( "solve for f to get:<BR>\n" );
document.write( "f = 1068.440089.<BR>\n" );
document.write( "that's the future value of the loan.<BR>\n" );
document.write( "it's what she owes.<BR>\n" );
document.write( "the interest rate on the loan is that value minus 750 = 318.440089.<BR>\n" );
document.write( "that's how much extra she needs to pay in addition to whatever fees she was charged.\r<BR>\n" );
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document.write( " </SPAN>\n" );
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