Question
Consider the following loan: An individual borrowed $79,000 at an APR of 4% which will be paid off with monthly payments of $514 for 18
Consider the following loan:
An individual borrowed $79,000 at an APR of 4% which will be paid off with monthly payments of $514 for 18 years.
Given:
Amount borrowed: $79,000
Annual interest rate: 4%
Number of payments per year: 12
Loan term: 18 years
Payment amount: $514
How many total payments does the loan require? What is the total amount paid over the full term of the loan?
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Principles Of Finance
Authors: Besley, Scott Besley, Eugene F Brigham, Brigham
4th Edition
0324655886, 9780324655889
