MODULE 4

Check in Activity 2
(Group Work)

Members:

Flores, Angela Joy

Gustilo Carlito Curtis
Lingan, Maria Renalyn
Lolingco, Jade Angel
Vergara, Ma. Frances
On June 26, 2019, Naomi obtained a loan of P150,000 from a local businessman. The
interest rate on the loan was 7.75% and it is to be paid on November 15, 2020.

1. What is the exact time from June 26, 2019, to November 15, 2020?
2. What is the approximate time from June 26, 2019, to November 15, 2020?
3. What is the Ordinary simple interest using exact time?
4. What is the Ordinary simple interest using approximate time?
5. What is the Exact simple interest using exact time?
6. What is the Exact simple interest using approximate time?
7. If Naomi was given the option to choose the type of interest to use, which should she
had chosen? Explain why in one sentence

P = 150,000
R = 7.75/100 = 0.0775

1. What is the exact time from June 26, 2019, to November 15, 2020?

2019 2020
Jun- 4 Jan- 31
Jul- 31 Feb- 29
Aug- 31 Mar- 31
Sep- 30 Apr- 30
Oct- 31 May- 31
Nov- 30 Jun- 30
Dec- 31 Jul- 31
Aug- 31
=188 Sep- 30
Oct- 31
Nov- 15

=320

Computation: T = 188+320
= 508 days
 2. What is the approximate time from June 26, 2019, to November 15, 2020?

2019
Jun- 4
July to December- 30×6= 180
= 184

2020
January to October- 30×10= 300
Nov- 15
= 315

Computation:
184+315= 499 days

3. What is the Ordinary simple interest using exact time?

𝑂𝑆𝐼(𝑒) = (150, 000)(0. 0775)(508∕360)

= 16, 404. 17

4. What is the Ordinary simple interest using approximate time?

𝑂𝑆𝐼(𝑎) = (150, 000)(0. 0775)(499∕360)

= 16, 113. 54

5. What is the Exact simple interest using exact time?

𝐸𝑆𝐼(𝑒) = (150, 000)(0. 0775)(508∕365)

= 16, 179. 45
 6. What is the Exact simple interest using approximate time?

7. If Naomi was given the option to choose the type of interest to use, which should
she had chosen? Explain why in one sentence.

I think Naomi should choose the simple interest because the interest that you need to
pay is much lower than other kinds of interest.