- Raymond borrowed $450 at 0% interest. If he pays back 0.5% of the total amount every 7 days, beginning exactly 7 days after the loan was disbursed, and has thus far paid back $18, with the most recent payment made today, how many days ago did he borrow the money?
(A) 6 (B) 8 (C) 25 (D) 42 (E) 56
they asked how many days ago he borrowed the money,so there was a time frame for 7 days where no transaction happened. So the 7 days should be added to the answer according to my logic can anyone explain by what way my approach is wrong
First payment that he made was 1 week after the loan and was of 2.25.
Now, so far he paid $18 which is (2.25 x 8) which was today
thus, from week 1 till today he would have made \frac{18}{2.25} = 8 weeks
- week = $2.25
- week = $2.25
- week = $2.25
- week = $2.25
- week = $2.25
- week = $2.25
- week = $2.25
- week = $2.25 (Today)
Now, 8 weeks x 7 days = days ago did he borrow the money
So your approach from week 1 - week 8 there are 56 days i accept , but " If he pays back 0.5% of the total amount every 7 days, beginning exactly 7 days after the loan was disbursed " so a week is not counted .
assume you u borrow today( 13th nov) and you have a 1 week relaxation period where you dont have to pay . so you start paying from 21 nov and from there you complete 8 cycles and you end at jan 15.(jan 15-nov 21) =56 days . but when loan was sanctioned on nov 13th .So 56+7(a week where the relaxation period was offered). Doesn’t it makes sense ?
