Answer to Question #200672 in Financial Math for Alfred abirached

Question

A lon of 250$ is made for 9 months at a simple interest rate of 10% annum. What is the interest charge? What ammount is due after 9 month?

Answer 1

$SI=P\times R\times T$

$=20\times\frac{10}{100}\times \frac{9}{12}$

$=\$18.75$

$Amount =Interest+Principal\\=18.75+250\\=\$268.75$