an accountant for a corporation forgot to pay the firms income tax of $725,882.65 on time. the government…

an accountant for a corporation forgot to pay the firms income tax of $725,882.65 on time. the government charged a penalty of 7.2% interest for the 51 days the money was late. find the total amount (tax and penalty) that was paid. assume 365 days in a year. the total amount paid was $ (round to the nearest cent as needed.)

an accountant for a corporation forgot to pay the firms income tax of $725,882.65 on time. the government charged a penalty of 7.2% interest for the 51 days the money was late. find the total amount (tax and penalty) that was paid. assume 365 days in a year. the total amount paid was $ (round to the nearest cent as needed.)

Answer

Explanation:

Step1: Calculate the penalty amount

The simple - interest formula is $I = Prt$, where $P$ is the principal amount, $r$ is the annual interest rate (in decimal form), and $t$ is the time in years. First, convert the interest rate $r = 7.2%=0.072$ and the time $t=\frac{51}{365}$ years, and $P = 725882.65$. $I=Prt=725882.65\times0.072\times\frac{51}{365}$ $I = 725882.65\times0.072\times0.139726$ $I=725882.65\times0.00996027$ $I\approx7230.63$

Step2: Calculate the total amount

The total amount $A$ is the sum of the tax amount $P$ and the penalty amount $I$. $A=P + I$ $A=725882.65+7230.63$ $A = 733113.28$

Answer:

$733113.28$