Malika borrowed $12,900 at an ordinary simple interest rate of 9% for 120 days. If she took the loan out on June 2, what is the due date? Assume a nonleap year.
A) October 2
B) September 30
C) September 1
D) August 31

Question

Quizplus · Accepted Answer

To find the due date, calculate 120 days from June 2. June has 30 days, so from June 2 to June 30 is 28 days. Subtracting 28 from 120 leaves 92 days. July has 31 days, so from July 1 to July 31 is 31 days, leaving 61 days. August has 31 days, so from August 1 to August 31 is 31 days, leaving 30 days. Therefore, 30 days into September is September 30.

Malika Borrowed $12,900 at an Ordinary Simple Interest Rate of 9