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You borrow $900 from your bank for 3 months. The loan agreement states that you must repay the loan at a rate of $300 per
You borrow $900 from your bank for 3 months. The loan agreement states that you must repay the loan at a rate of $300 per month plus interest. The interest rate for the loan is 2% above the prime interest rate. During the first month the prime rate is 4.25 % during the second month it is 5.25% and during the third month it is 5.5%. What is the total amount of interest you pay on the loan?
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