Shelly has a college loan for $15,700.00 at 8.4% APR. She has ten years to pay off the loan.
What is Shelly's monthly payment?
2006-07-17 08:56:22 · 4 answers · asked by Anonymous in Education & Reference ➔ Higher Education (University +)
The KEY is to realize that your monthly payment would be equal to the total amount you'll owe at the end divided by the total number of monthly payments.
10 years = 120 months (12 months per year x 10 years).
However there some pieces of info that you didn't provide that are necessary to getting a monthly payment amount. First of all, if we're dealing with compound interest (most likely yes), then we need to know how often interest is compounded.
Bottom-line, you:
1) Need to calculate how much will be owed by the end of that 10 year period. Basically, you calculate the amount of interest and then add it to the loan amount ($15,700).
2) Need to know how interest is compounded so you can calculate #1.
2006-07-17 15:36:08 · answer #1 · answered by msoexpert 6 · 0⤊ 0⤋
hi if i m right it should be I=PRN/100 then I 13188 and A=P+I =28888 and monthly inst is 28888/120 = 240.7333
2006-07-17 09:11:12 · answer #2 · answered by aniruddh 2 · 0⤊ 0⤋
Dear Blondie,
Look at this website - $193.82, I think is the amount.
2006-07-17 09:02:27 · answer #3 · answered by classical123 4 · 0⤊ 0⤋
225.15
2006-07-17 11:33:16 · answer #4 · answered by steven o 2 · 0⤊ 0⤋