what is the total payment required to pay off...
what is the total payment required to pay off a promissory note issued for $650.00 at 15% ordinary interest and a 180 - day term? $? round to the nearest cent.
Answer
# Answer:
$700.88$
# Explanation:
## Step1: Identify the simple - interest formula
$I = Prt$, where $P$ is the principal amount, $r$ is the annual interest rate, and $t$ is the time in years.
$P=\$650$, $r = 0.15$, and $t=\frac{180}{360}=0.5$ (using 360 - day year for ordinary interest).
## Step2: Calculate the interest
$I=Prt=650\times0.15\times0.5=\$48.75$
## Step3: Calculate the total payment
The total payment $A$ is the sum of the principal $P$ and the interest $I$.
$A = P+I=650 + 48.75=\$700.88$