Solve the problem. Assume that simple interest is being calculated in each case. Round your answer to the nearest cent.
-Annieʹs cafe borrows $6100 at 6% for 290 days. Find the total amount that must be repaid after 290 Days. (Use a 365 day year.)
A) $6466.00
B) $6129.08
C) $6390.79
D) $9007.95

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Quizplus · Accepted Answer

To calculate simple interest, use the formula I = PRT, where P is the principal ($6100), R is the rate (6% or 0.06), and T is the time in years (290/365). The interest I = 6100 * 0.06 * (290/365) = $290.79. The total amount to be repaid is the principal plus interest: $6100 + $290.79 = $6390.79.

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