Question

Hailey is considering taking out an 8-year loan with monthly payments of

$125 at an APR of 4.7%, compounded monthly, and this equates to a loan of
$9985.95. Assuming that Hailey's monthly payment and the APR of the loan
remain fixed, which of these is a correct statement?

Answer 1

Answer: if it was a 10-year loan, the amount that Hailey is considering taking out would be more than $9985.95.