Interest on PayDay Loan

[timlasley]

Mike James had a bad credit rating and went to a local cash center. He took out a $100 loan payable in 2 weeks at $115. What is the percent of interest paid on this loan? Do not round denominator before dividing.

15
________
100 x 14/360

15
________
3.88889

= 3.86%

 

[timlasley]

115/100 =

1.15 or .0115

assignment still says its wrong

 

[Deleted member 4993]

Mike James had a bad credit rating and went to a local cash center. He took out a $100 loan payable in 2 weeks at $115. What is the percent of interest paid on this loan? Do not round denominator before dividing.

15
________
100 x 14/360

15
________
3.88889

= 3.86%

Did you want to calculate Annual Percent Rate (APR) or monthly percent rate or weekly percent rate or daily percent rate or some other time-period?

 

[lance7tour]

I used 385.71, we are not supposed to use % in the answer and this was the reply:

	Answer for problem 10-24 Answer
Selected Answer: 385.71

(says its wrong)

wtf