Asked by Phoenix Friday on Apr 25, 2024
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A florist borrowed money to buy a large quantity of new imported floral art products to sell in her shop. If it cost her $393.60 to borrow the money for 146 days at 12% exact simple interest (365-day year), what was the amount borrowed?
Exact Simple Interest
Interest calculated precisely on the principal amount, without compounding, for a specific time period.
365-Day Year
A reference to a full calendar year consisting of 365 days, typically excluding leap years which have 366 days.
- Absorb the methods for accurate computation of simple interest on loans over a 365-day year.
- Assess the principal figure or interest rate in light of various loan terms.
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Learning Objectives
- Absorb the methods for accurate computation of simple interest on loans over a 365-day year.
- Assess the principal figure or interest rate in light of various loan terms.