A Person Borrows $100,000 at a Simple Interest Rate R

question 94

Multiple Choice

A person borrows $100,000 at a simple interest rate r = 24%.He is to repay the loan with 2 payments,one at the end of 2 months and the other at the end of 6 months.The first payment is the same as the 2^nd payment.Determine the size of the payments,using the end of 6 months as the focal date.

• A)$46,296.30
• B)$48,076.92
• C)$53,846.15
• D)$53,925.93