On February 4, Mona borrowed RM5000 at a simple interest rate of 11%. He paid RM1000 on April 21 RM 700 on May 12, and RM 800 on June 11. Calculate the balance due on August 15 using the a) Declining balance method? b) Merchant Rule

On February 4, Mona borrowed RM5000 at a simple interest rate of 11%. He paid RM1000 on April 21 RM 700 on May 12, and RM 800 on June 11. Calculate the balance due on August 15 using the a) Declining balance method? b) Merchant Rule

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

On February 4, Mona borrowed RM5000 at a simple interest rate of 11%. He paid RM1000
on April 21 ,RM 700 on May 12, and RM 800 on June 11. Calculate the balance due on
August 15 using the
a) Declining balance method?
b) Merchant Rule

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