An insurance agent has just sold a large policy and will be paid a commission of $7359.06 in 30 days. A business associate offers to give him cash right now in exchange for the commission check when it arrives, for a fee of 3.25%. a. How much would the agent receive if he takes this deal? b. what simple interest rate would this be equivalent to paying? I got this far (.0325) (7359.06) = 239.16945 D= MdT$239.17 = $7359.06 (d) (30/365) d=$604.85

Simple Interest Rate

I=PRT
$239.17 = (6754.21) R (30/365) R= Please help, I need an answer fast!!! 2. Originally Posted by linda14522 An insurance agent has just sold a large policy and will be paid a commission of$7359.06 in 30 days. A business associate offers to give him cash right now in exchange for the commission check when it arrives, for a fee of 3.25%.

a. How much would the agent receive if he takes this deal?
he would receive 96.75% of $7359.06, which is 0.9675*7359.06 = .... b. what simple interest rate would this be equivalent to paying? Simple Interest Rate I=PRT$239.17 = (7359.06) R (30/365)

R=
no, the principal here is \$7359.06

Now solve for R