Math Problem Statement
Sally buys a living room set (sofa, chair and coffee table) for $3380 including sales tax. The store offers her a buy now pay later deal. If she does not pay by the end of three years she will be charged a simple interest at an annual rate of 4%. (a) How much interest would she have to pay at the end of the 3 years?
Solution
Ask a new question for Free
By Image
Drop file here or Click Here to upload
Math Problem Analysis
Mathematical Concepts
Simple Interest
Percentages
Basic Arithmetic
Formulas
Simple Interest formula: I = PRT, where I is the interest, P is the principal amount, R is the rate of interest, and T is the time period in years
Theorems
-
Suitable Grade Level
Grades 6-8
Related Recommendation
Simple Interest Calculation for 3 Years at 4% Rate on a $3,380 Purchase
Simple Interest Calculation for a $3380 Purchase at 4% Over 3 Years
Simple Interest Calculation for a Loan of $2,482 at 3.5% Interest
Simple Interest Calculation: Loan of $2,482 at 3.5% Interest Rate for 1 Year
Calculate Simple Interest on $4,000 at 7% for 3 Years