Use 
MV = P(1 + RT)
 to find the maturity value (in $) of the loan.
Principal	Rate (%)	Time	Maturity Value=?
$670,000	13.35	9 months	$ 
 


To find the maturity value of the loan, we use the formula:

\[
MV = P(1 + RT)
\]

Where:
- $ MV $ is the maturity value
- $ P $ is the principal amount (loan)
- $ R $ is the annual interest rate in decimal form
- $ T $ is the time period in years

### Step 1: Convert the given values:
- $ P = 670,000 $ dollars
- $ R = 13.35\% = \frac{13.35}{100} = 0.1335 $
- $ T = \frac{9}{12} = 0.75 $ years (since 9 months is $ \frac{9}{12} $ of a year)

### Step 2: Plug the values into the formula:

\[
MV = 670,000 \times \left(1 + 0.1335 \times 0.75\right)
\]

Now, calculate this expression.

\[
MV = 670,000 \times \left(1 + 0.100125\right)
\]
\[
MV = 670,000 \times 1.100125 = 737,083.75
\]

### Final Answer:
The maturity value of the loan is **$737,083.75**.

Would you like more details or explanations on any of the steps? Here are some related questions for practice:

1. How would the maturity value change if the interest rate increased to 15%?
2. How does extending the loan period to 1 year affect the maturity value?
3. What happens if the loan principal is reduced to $500,000?
4. How do you calculate the interest earned on the loan?
5. How would you express the maturity value formula in terms of interest only?

**Tip:** Always ensure the time (T) is in years when using annual interest rates!

Use MV = P(1 + RT) to find the maturity value (in $) of the loan.
Principal	Rate (%)	Time	Maturity Value=?
$670,000	13.35	9 months	$ 

Learn how to calculate the maturity value of a loan with a principal of $670,000, an interest rate of 13.35%, and a loan period of 9 months. Using the formula MV = P(1 + RT), we find the maturity value to be $737,083.75. This problem applies key concepts in simple interest and algebra, suitable for students in Grades 10-12.

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