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Question 1023310: Complete the following. Assume 360 days
Principal $750, Rate(nearest tenth percent)12.2%, Time(nearest day)?, Simple interest $19.06
Answer by Theo(13342)   (Show Source):
You can put this solution on YOUR website! simple interest is calculated according to the following formula.
i = p * r * n
i is the interest.
p is the principal.
r is the interest rate per time period.
n is the number of time periods.
if your interest rate is in years, then your time period is also in years.
you have the following:
i = 19.06
p = 750
r = .122
n = what you want to find.
plug these values in the formula and you get:
19.06 = 750 * .122 * n
solve for n to get n = 19.06 / (750 * .122).
this results in n = .208306011 years.
since n is in years, and each year is equal to 360 days, then convert your answer to days by multiplying n by 360 to get:
n = .208306011 * 360 = 74.99016393 days.
if your round this off to 75, then your answer is 75 days.
if n is in days, then the interest rate has to be per day as well.
divide .122 by 360 to get r = .000338889 per day.
when you assume days rather than years, the formula becomes:
i = 750 * .000338889 * 75 = 19.0625 which round to 19.06.
your solution is that you would get 19.06 interest in approximately 74.99016393 days which you can round off as required.
75 days seems reasonable to me.
your instructor might think otherwise.
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