Assume you obtain a $12,000 loan (without credit life insurance). It is a four-year simple-ineterest installment loan with an annual interest rate of 12.50 percent. First, what would be the monthly payment? Second, how much total interest will you pay over the four years? Third, what is the APR on this loan? $319 is your monthly payment: $3, 310 is the total amount of interest you will pay over the four years: $12.5% is the APR. $332 is your monthly payment: $3, 936 is the total amount of interest you will pay over the four years: $12.5% is the APR. $332 is your monthly payment: $3, 936 is the total amount of interest you will pay over the four years: $12.0% is the APR. $319 is your monthly payment: $3, 310 is the total amount of interest you will pay over the four years $12.0% is the APR