Hi I need some help with this problem:
Harjap completed his program at Nova Scotia Community College in December. On June 30, he paid all the intereset that had accrued (at prime plus 2.5%) on his $5800 Canada Student Loan during the six month grace period. He selected the fixed rate options (prime plus 5%) and agreed to make end-of month payment of $95 beginning July 31. The prime rate was 8% at the beginining of the grace period and rose by 0.5% effective March 29. On August 13, the Prime rate rose another 0.5%. The revelent february had 28 days.
a) what amount of interest accrued during the grace period?
b)Calculate the total interested paid in the first threee regular payments and the balance owed after the third payment.
Formula: I=Pr1t1 + Pr2t2
I would really appreciate if you could help me out here.
Jan 18th 2008, 08:54 AM
You're going to have to do a little better than that. You have nothing?!
How many days from 31 Dec to 29 Mar when the Prime Rate changed?
How many days from 29 Mar to 30 Jun when the Grace Period ended?
How many days from 30 Jun to 31 Jul when the First Payment was made?
How many days from 31 Jul 13 Aug when the Prime Rate changed?
How many days from 13 Aug to 31 Aug when the Second Payment was made?
How many days from 31 Aug to 30 Sep when the third Payment was made?
Answer all these and something should hit you.
Jan 18th 2008, 04:47 PM
that really helped me out!!
Jan 28th 2008, 11:12 AM
I am very low income worker at a small factory. My son has a kind of chronic health problem and his doctor keeps telling him to eat better, but when you cannot afford anything more, what can I do? I donít have enough money at the end of the month to afford to manage it. I want to apply for a health care grants for my son so that I can get a Grant just to afford that. Any helpful information would be greatly appreciated. Please help me. I really need your help. Thanks.