Desiree Brown borrowed $50,000 on a 90-day 8% note. Desiree paid $3,000 toward the note on day 40. On day 60 she paid an additional $4,000. Using the U. S. Rule, Desiree's adjusted balance after the first payment is:

Her adjusted balance is 46.893,4 dollars.

Explanation:

US rule does not allow calculations of interest on interest and is generally applied when there is a delay between first payment and taking of loan. Time between these two in our case is 40 days, therefore paid interest is 3000*0,08*40/90 equals to 106.6 dollars. This means that her total payment after 40 days are 3106.6 dollars. Her remaining part to be payed according to the rule is 50.000 - 3106.6 dollars or 46.893,4 dollars.            

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