Caridad borrowed $15,500 at 11% ordinary interest for 120 days. After 70 days, she made a partial payment of $3,000. What is the final amount due on the loan? (Round to the nearest cent)
A) $13,921.56
B) $14,596.22
C) $13,027.57
D) $12,943.06

Question

Quizplus · Accepted Answer

The interest for 70 days is calculated first, then the partial payment is subtracted. The remaining balance accrues interest for the remaining 50 days. The final amount due is calculated by adding this interest to the remaining balance.

Caridad Borrowed $15,500 at 11% Ordinary Interest for 120 Days