Question

Assume Katelyn's loan was for $5,000 and that she will make 48 monthly payments of $117.42 to repay the loan. How much total interest will she pay over the life of the loan?

Answer 1

Explanation:

48*117.42=5636.16

Principle of the loan is $5000. Payback is $5636.16. She pays $636.16 in interest or 12.7232%. I got that by dividing the 636.16 of interest by 5000.