I have taken out a loan on October 5th, 2006 for $16,000, due on November 1st, 2006. The rate is 8.0% per annum. What will be the interest due on November 1st? I believe around $105, but want to be sure......
2006-10-05 18:54:12 · 2 answers · asked by Dano_Slokes 1 in Business & Finance ➔ Personal Finance
This is not through a bank, but rather an acquaintance. The signed paperwork does not give an ammortization, but simply states the total, and the interest to be paid is 8% per annum
2006-10-05 19:04:56 · update #1
Actually, that would be $ 96.28 assuming a 360-day calendar year, as follows:
Principal of 16,000 x 27 days x (8%/360 days)
The same result would come out using a future value formula.
2006-10-05 20:47:46 · answer #1 · answered by puppy 3 · 0⤊ 0⤋
You mean the lending institute that you are borrowing the money from cannot tell you this? Also it would be specified in your loan documents/contract.
2006-10-06 02:02:35 · answer #2 · answered by Island Queen 6 · 1⤊ 2⤋