GRE Prep Club Daily Prep
Thank you for using the timer - this advanced tool can estimate your performance and suggest more practice questions. We have subscribed you to Daily Prep Questions via email.
Customized
for You
Track
Your Progress
Practice
Pays
Not interested in getting valuable practice questions and articles delivered to your email? No problem, unsubscribe here.
Raymond borrowed $450 at 0% interest. If he pays back 0.5%
[#permalink]
02 Jun 2018, 03:34
02 Jun 2018, 03:34
1
Expert Reply
3
Bookmarks
00:00
Question Stats:
79% (01:26) correct
20% (01:01) wrong based on 77 sessions
Hide Show timer Statistics
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
(A) 6
(B) 8
(C) 25
(D) 42
(E) 56
Re: Raymond borrowed $450 at 0% interest. If he pays back 0.5%
[#permalink]
19 Jun 2018, 15:09
19 Jun 2018, 15:09
1
We first start off with the equation \(450 * .005 = X\). X stands for the total amount he pays every 7 days.
X=2.25 dollars.
If he has paid back 18 dollars already, then we can divide the amount he pays (2.25) by 18 to get how many weeks he has paid so far.
\(18 / 2.25 = 8\)
He has paid for 8 weeks. Since the question is asking for days, we multiply 8 by 7 to get the answer.
8 * 7 = 56
The correct answer is E.
X=2.25 dollars.
If he has paid back 18 dollars already, then we can divide the amount he pays (2.25) by 18 to get how many weeks he has paid so far.
\(18 / 2.25 = 8\)
He has paid for 8 weeks. Since the question is asking for days, we multiply 8 by 7 to get the answer.
8 * 7 = 56
The correct answer is E.
Re: Raymond borrowed $450 at 0% interest. If he pays back 0.5%
[#permalink]
01 Jul 2018, 14:07
01 Jul 2018, 14:07
1
Expert Reply
Explanation
1% of $450 is $4.50, so 0.5% is $2.25. That’s the amount Raymond pays back every week.
Because he has paid back $18 in total, divide 18 by 2.25 to determine the total number of payments:
\(\frac{18}{2.25}= 8.\)
So Raymond has made 8 payments, once every 7 days. The payments themselves spread over only a 7-week period (in the same way that 2 payments spread over only a 1-week period).
Raymond waited 1 week to begin repayment, however, so a total of 8 weeks, or 56 days, have passed since he borrowed the money.
1% of $450 is $4.50, so 0.5% is $2.25. That’s the amount Raymond pays back every week.
Because he has paid back $18 in total, divide 18 by 2.25 to determine the total number of payments:
\(\frac{18}{2.25}= 8.\)
So Raymond has made 8 payments, once every 7 days. The payments themselves spread over only a 7-week period (in the same way that 2 payments spread over only a 1-week period).
Raymond waited 1 week to begin repayment, however, so a total of 8 weeks, or 56 days, have passed since he borrowed the money.
