Answer:
final loan amount = $18,455.86
so correct option is c. $18,455.86
Explanation:
given data
loan = $18000
rate = 10%
time = 3 months
to find out
total amount that Rahul owes the bank at the end of the loan
solution
we know that number of day in 3 months is
number of day = 3 × [tex]\frac{365}{12}[/tex]
number of day = 91.25 days
loan rate = [tex]\frac{0.10}{365}[/tex]
loan load = 0.00027397
now final loan amount will be
final loan amount = loan amount × [tex](1+r)^{t}[/tex]
final loan amount = $18000 × [tex](1+0.00027397)^{91.25}[/tex]
final loan amount = $18,455.86
so correct option is c. $18,455.86
