if i borrow $5000 for 98 daysand the bank charges a simple discount rate of 12% what are my proceeds?

Answer 1

Simple interest = principal (how much you borrowed) x rate (percent you must pay) x time

I=PRT

I=5000 x .12 x .27 Equals= 162

SO you owe the bank $5,162 and your total interest is $162.

I got the .27, because interest is normally calculated by year, and since your borrowing it for less than that, 98 days is 27% of a year. 98/365