Amy Koy met Pat Quinn on Sept. 8 at Queen Bank. After talking with Pat, Amy decided she would like to consider a $9,000 loan at 10 1/2% to be repaid on Feb. 17 of the next year on exact interest. Calculate the amount that Amy would pay at maturity under this assumption. Round all answers to the nearest cent.

Question

Quizplus · Accepted Answer

Days = 22 (Sept)+ 31 (Oct)+ 30 (Nov)+ 31 (Dec)+ 31 (Jan)+ 17 (Feb)= 162 days; I = 9,000 × .105 × 162/365 = $419.42; MV = $419.42 + $9,000 = $9,419.42

Amy Koy Met Pat Quinn on Sept