Jane borrowed $500 and paid $525 in total fees on the loan for a sum of $1025 after rolling over the loan 6 times (after the initial 14 days were up) for 7 fourteen-day periods. After these 98 days she finally had saved up enough to pay her loan back. Calculate the APR on this $500 loan using $525 as the interest (since the fee is for the use of the money, interpreting it as the interest makes sense) and 98 days for the number of days of the loan. Solving the simple interest equation for r, calculate the APR rounded to the closest full percent. (Turn the APR into a percent and round to the closest integer.)
Jane borrowed $500 and paid $525 in total fees on the loan for a sum of $1025 after rolling over the loan 6 times (after the initial 14 days were up) for 7 fourteen-day periods. After these 98 days she finally had saved up enough to pay her loan back. Calculate the APR on this $500 loan using $525 as the interest (since the fee is for the use of the money, interpreting it as the interest makes sense) and 98 days for the number of days of the loan. Solving the simple interest equation for r, calculate the APR rounded to the closest full percent. (Turn the APR into a percent and round to the closest integer.)
Chapter9: Sequences, Probability And Counting Theory
Section9.4: Series And Their Notations
Problem 57SE: Karl has two years to save $10000 to buy a used car when he graduates. To the nearest dollar, what...
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Transcribed Image Text:Jane borrowed $500 and paid $525 in total fees on the loan for a sum of $1025 after rolling over the loan
6 times (after the initial 14 days were up) for 7 fourteen-day periods. After these 98 days she finally had
saved up enough to pay her loan back. Calculate the APR on this $500 loan using $525 as the interest
(since the fee is for the use of the money, interpreting it as the interest makes sense) and 98 days for the
number of days of the loan. Solving the simple interest equation for r, calculate the APR rounded to the
closest full percent. (Turn the APR into a percent and round to the closest integer.)
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