Answer:
The amount of interest on the loan was of $214.57.
Step-by-step explanation:
Slingerland borrowed $8,000 at an 11% interest rate, thus having to pay $880 after a year.
As the loan was due on October 17, and the difference between July 20 and October 17 is of 89 days, using the exact interest method we can affirm that:
880 / 365 x 89 = X
2.41 x 89 = X
$214.57 = X
The amount of interest on the loan was of $214.57.
