Question

00 On April 5, 2019, Janeen Camoct took out an 81% loan for $20,000. The loan is due March 9, 2020. Janeen's terms are ordinary Interest. Sabrina Bowers took out the same loan as Janeen. Sabrina's terms, however, are exact interest.ignore leap yeat) (Use Duva Ina year table) 6. What is Sabrina's difference in interest? (Do not round intermediate calculations, Round your answer to the nearest cent) 1 Diference b. What will she pay on March 9. 2020? (Round your answer to the nearest cent.) Amount

Answer 1

a	No. of days from April 5 to Dec 31 =365 days - 95 days =270 days
	No. of days from 1 Jan to March 9 =68 days
	Total no. of days for which interest is paid =270 days + 68 days =338 days
	Sabrinas Interest =$20,000*8.5%*338/365 =$1,575
	Janeem Interest =$20,000*8.5%*11/12 =$1,558
	So Difference in interest =$1,575 - $1,558 =$17
b	Payment on March 9,2020 =$20,000 + $1,575 =$21,575