what is the rate of interest did you receive over a period of 67 day's if your principal was dollars 7444 and it had a maturity value of dollar 7601
Answers
Answer:
11.48%
Step-by-step explanation:
if there is simple interest-
rate--157*365*100/7444*67
--11.48%
The rate of interest received over a period of 67 days if your principal was dollars 7444 and it had a maturity value of dollars 7601 = 11.497%
Given:
i) Principal value = 7444 dollars
ii) Maturity value = 7601 dollars
iii) Time period = 67 days
To find:
the rate of interest received over this period of 67 days
Solution:
Maturity value (MV) and Principal value (PV) are related by the relation:
MV = PV + Interest (I)
Substituting the values of MV = 7601 and PV = 7444 in this relation, we get
7601 = 7444 + Interest (I)
=> I = 7601 - 7444
=> I = 157 dollars
Time period (T) = 67 days
= 67/365.2425 year
The rate of interest is given by the formula:
Rate of Interest = (Interest × 100)/(Principal × Time)
= (I x 100)/(PV x T)
Substituting the values of I, PV and T in this relation, we get
Rate of Interest = (157 x 100)/(7444 x (67/365.2425))
= ((157 x 100) x 365.2425)/(7444 x 67)
= 11.497%
Hence,
the rate of interest received over a period of 67 days if your principal was dollars 7444 and it had a maturity value of dollars 7601 = 11.497%
#SPJ3