Question

A Gilbert Lumber Company case, suppose today is January 1,2020 and your company, Maschera Corp has a loan with an APR of 18% whose principal is reduced by $4,000 on the last day of every month. The balance outstanding on this loan on December 31,2019(i.e. yesterday) was $389,000. Find the Total amount of Interest that Maschera will pay over the next calendar year, that is , over the next 12 months(Acceptable error = $200)

Answer 1

Explanation:

48. (c): In AAJD and AAGE, ZGAE - ZDAJ [Common]

ZAGE = ZAJD AAJD - AAGE [Each 90°)

[By AA similarity] AG GE = AJ JD

Given, BF BF FC 3

=

In ΔΒΓ and BIC

ZHBF = ZCBI ZBHF = ZBIC

ABHF - ABIC HF BH BE

2

..(i)

[Common] [Each 90° [By AA similarity]

..(ii)

ICBC 5 Now, in rectangles ABHG and ABI) corresponding

sides are parallel and internal angles are 90°.

AG BH

= AJ BI

From (i), (ii) and (iii), we get GE HF 2

JD IC » JD 5 GE 2 5. GE and IC = HF

Now, DC = DJ + JI+ IC

5

2

5

GE + AB + HF

2

ЗАВ

2AB = 4 (GE + HF) 2

5 AB = GE + HF Also, EF = EG + GH + HF

4 5 AB + AB = 9 5 AB

5EF = 9AB = 9 19 (4DC) -