Alicia borrowed $8,500 at 6% ordinary interest for 180 days. After 40 days, she made a partial payment of $2,000. After another 70 days, Alicia made a second partial payment of $2,000. What is the final amount due on the loan?

Answer 1

interest for first 40 days = 8500(40/365)(.06)
= $55.89
total owing at that time =$ 8555.89
makes payment of $2000
Balance remaining = 6555.89

interest for next 70 days = 6555.89(70/365)(.06)
= 75.44
total owing at that time = 6631.33
makes payment of $2000, leaving a balance of
4631.33
interest for remaining 70 days
= 4631.33(70/365)(.06) = 53.29

for a balance remaining of $ 4684.62

check my arithmetic, did not write it down on paper first.