the principal p is borrowed at a simple interest rate r for a period of time t. find the simple interest…

the principal p is borrowed at a simple interest rate r for a period of time t. find the simple interest owed for the use of the money. assume 360 days in a year. p = $17,000, r = 12%, t = 150 days. the simple interest owed is $ (do not round until the final answer. then round to the nearest cent as needed )

the principal p is borrowed at a simple interest rate r for a period of time t. find the simple interest owed for the use of the money. assume 360 days in a year. p = $17,000, r = 12%, t = 150 days. the simple interest owed is $ (do not round until the final answer. then round to the nearest cent as needed )

Answer

Explanation:

Step1: Convert the interest rate to decimal

$r = 12%=0.12$

Step2: Calculate the fraction of the year

The time $t = 150$ days and there are 360 days in a year. So the fraction of the year is $\frac{t}{360}=\frac{150}{360}=\frac{5}{12}$

Step3: Use the simple - interest formula

The simple - interest formula is $I = Prt$. Substitute $P = 17000$, $r = 0.12$ and $t=\frac{5}{12}$ into the formula. $I=17000\times0.12\times\frac{5}{12}$ First, $17000\times0.12 = 2040$. Then $2040\times\frac{5}{12}=\frac{2040\times5}{12}=\frac{10200}{12}=850$

Answer:

$850.00$