Question

On September 14, Jennifer Rick went to Park Bank to borrow $2,500 at 11.75% interest. Jennifer plans to repay the loan on January 27. What interest will Jennifer owe on January 27? What is the total amount Jennifer must repay at maturity?

Answer 1

I = Po*(r/360)*d
I = 2500*(0.1175/360)*136days = $110.97

AMT. = 2500 + 110.97 = $2610.97