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1) Holland Landscaping Supply charges 11.25% interest on overdue accounts. How much will a customer need to pay to settle a $2,743.58 account that is 48 days overdue 2) To settle a $5,200 invoice owing to supplier, we can pay either $5,130.42 now or the full amount in 60 days. What rate of simple interest would make the two alternatives equivalent? (Round your percentage answer to 2 decimal places.)
3) On April 15, Silva borrowed $7,800 to purchase equipment for his summer landscaping business. How much does Silva need to repay when the loan comes due on October 31 of the same calendar year if the loan carries interest at 4.65%? Use Table 7.2. (Use 365 days a year. Round your answer to 2 decimal places.)
4) A competitor is advertising a washer/dryer combination for $1,995 with no payments or interest for 60 days. How much would our business need to advertise for the same washer/dryer combination if no payment plan is offered and customers must pay in full at the time of purchase? Assume money is worth 4.75%.
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