7. Calculating finance the discount the discount method and APR on a single-payment Aa Aa loan You are taking out a single-payment loan that uses the discount method to compute the finance charges. the way they're computed using the simple interest Computing the finance charges is done method. Under the discount method, a borrower receives the principal the finance charges. For example, if the principal is $12,000 and the finance charges are $1,920, the borrower will receive The following equation computes the finance charges on your loan: In the equation, Fa is the finance charge for the loan. What are the other values? P is the amount of the loan. r is the stated rate of interest. t is the term of the loan in You're borrowing $10,000 for two years with a stated annual interest rate of 8%. Complete the following table. (Note: Round your answers to the nearest dollar.) $10,000 Principa Finance charges Loan disbursement Total payback