Explanation Interest refers to the amount paid by the borrower of the funds to the lender. Interest is paid by the borrower regularly over the period of time above the principal repayment. In this, a person uses another person’s money in its business and pay interest on the same amount. The formula to compute the interest is Interest = Principal × Rate × Time . Consider an example: The principal amount of loan is $ 5 , 000 , the rate of interest is 8 % and the time period is 2 years. Compute the interest by substituting $ 5 , 000 for principal, 0.08 for the rate of interest and 2 for time in the formula Interest = Principal × Rate × Time . Interest = Principal × Rate × Time = 5,000 × 0 .08 × 2 = $800 Hence, the amount of interest is $ 800 . Principal refers to the amount that is borrowed by the borrower. Consider an example: The rate of interest is 12 % , the time period is 2 years and interest amount is $ 300

Contemporary Mathematics for Business and Consumers

7th Edition

ISBN: 9781285189758

Author: Robert Brechner, George Bergeman

Publisher: Cengage Learning

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Chapter 10, Problem 10CR

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To fill: The blanks given in the statement “The U.S. rule states that when a partial payment is made on a loan, the payment is first used to pay off the accumulated to date and the balance is used to reduce the___________.”

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Chapter 10, Problem 9CR

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COM WIth Chegg Cheg x + w:/r/sites/TertiaryStudents/_layouts/15/Doc.aspx?sourcedoc=%7B2759DFAB-EA5E-4526-9991-9087A973B894%. QUAT6221wA1 Accessibility Mode Immersi The following table indicates the unit prices (in Rands) and quantities of three meals sold every year by a small restaurant over the years 2023 and 2025. 2023 2025 MEAL Unit Price (po) Quantity (q0)) Unit Price (P₁) Quantity (q₁) Lasagne R125 1055 R145 1125 Pizza R110 2115 R130 2195 Pasta R95 1950 R120 2250 Q.2.1 Using 2023 as the base year, compute the individual price relatives in 2025 for (10) lasagne and pasta. Interpret each of your answers. 0.2.2 Using 2023 as the base year, compute the Laspeyres price index for all of the meals (8) for 2025. Interpret your answer. Q.2.3 Using 2023 as the base year, compute the Paasche price index for all of the meals (7) for 2025. Interpret your answer. Q Search L O W L

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Chapter 10 Solutions

Contemporary Mathematics for Business and Consumers

Ch. 10.I - Find the amount of interest on each of the...Ch. 10.I - Joe Hale goes to a credit union and borrows...Ch. 10.I - Prob. 3TIE Ch. 10.I - Prob. 4TIE Ch. 10.I - a. A loan was made on April 4 and had a due date...Ch. 10.I - a. What is the maturity date of a loan taken out...Ch. 10.I - Prob. 1RE Ch. 10.I - Prob. 2RE Ch. 10.I - Prob. 3RE Ch. 10.I - Prob. 4RE

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