help in homework

New User?

Fill This Form To Receive Instant Help

Help in Homework
trustpilot ratings
google ratings


Homework answers / question archive / Pace Co

Pace Co

Accounting

Pace Co. borrowed $20,000 at a rate of 7.25%, simple interest, with interest paid at the end of each month. The bank uses a 360-day year. How much interest would Pace have to pay in a 30-day month? 
a. $120.83 b. $126.88 c. $133.22 d. $139.88 e. $146.87 
 

pur-new-sol

Purchase A New Answer

Custom new solution created by our subject matter experts

GET A QUOTE

Answer Preview

Answer

a .

Explanation

Computation of Simple Interest:

Simple Interest = Principal*Rate*Time

= 20,000*7.25%*30/360 

Simple Interest = 120.83

So, the correct option is A "120.83".

Sitejabber (5.0)

BBC (5.0)

Trustpilot (4.9)

Google (5.0)

Related Questions