Juanita borrowed $600 to purchase a new computer. She was charged 7% interest for two years. She used the simple interest formula to find the interest. I = 600(7)(2) What error did Juanita make and how will her error affect the interest she calculates? Explain.

The correct formula should be I= 600(0.07)(2). Juanita made a very common error, she didn't put the percentage of interest in decimal form; or she didn't put the percent sign on it so we know to put it in decimal form. Her error will make a big difference; with using her calculations the answer would be $8,400. With the correct formula the answer is $84.

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alokdubeyvidyaatech alokdubeyvidyaatech · Answer 2 · 2022-02-15T11:26:59+01:00

The simple interest paid by Juanita in the amount of $600 at a rate of 7% for two years will be $84.

The error made by Juanita is while calculating the simple interest, she did not convert the percentage 7% of interest rate into decimal form i.e. 0.07.

What is the meaning of simple interest?

Simple interest is the amount of money a lender charges a borrower for a loan. Simple interest can be calculated by the formula given below.

[tex]SI =P\times \dfrac { R}{100}\times T[/tex]

Where P is the principal amount, R is the interest rate and T is the time interval.

Given that Juanita borrowed $600 to purchase a new computer. She was charged 7% interest for two years. So P = $600, R= 7%, T=2 years.

The simple interest after 2 years will be,

[tex]SI = 600 \times \dfrac {7}{100} \times 2[/tex]

[tex]SI = 84[/tex]

The error made by Juanita while calculating the simple interest is that she did not convert the percentage into decimal form. The error made by Juanita will make a big difference in the amount of interest. The correct amount of interest after two years is $84.

To know more about the simple interest, follow the link given below.

https://brainly.com/question/2793278.