00:01
One thing to keep in mind as i'm thinking about doing this problem is the ending amount minus the principal would give you that interest earned.
00:09
And i also don't know if we're, how we're compounding this interest because it doesn't really say what is happening besides from april 15th to may 30th is 45 days, 45 days.
00:35
So i think there's a couple of ways you can approach this problem is doing the compound interest formula like a equals p and then one plus the rate over the number of compoundings to the nt power.
00:53
So i guess what i'm thinking about is, because it doesn't say that maybe it's just supposed to be compounded yearly.
01:00
So what i would do is this one plus 0 .0875 and then this, if it's just compounding yearly, that that's in 365.
01:15
So it's like 45 over 365 as far as a fraction goes.
01:22
Otherwise there might be some other ways of doing this problem.
01:27
And like i said, all we need to know then is that the ending amount is the principal plus the interest.
01:39
So i think what i would do is subtract off the principal and get that ending amount being 3637.
01:48
And so what i could do, if i'm just going to stick with this formula, is factor out a p and if this is supposed to be compounded daily, really the only thing that would be different is you would divide this by 365 and you would drop out this 365.
02:07
But like i said, i don't know if that's how it's supposed to be set up.
02:12
Oops, i forgot to put, factor it out, minus one there...