Please help! A developer borrows $150,000 at 6.5% interest, compounded monthly and agrees to pay off the loan in 5 years. How much interest will she have paid?

Question

anonymous · Answer

help ppl ? not sure how to do it

jim_thompson5910 · Answer

A = P(1+r/n)^(n*t)

A = 150000(1+0.065/12)^(12*5)

A = 207,422.5986

A = 207,422.60


So after 5 years, $207,422.60 is paid back in total.

The amount in interest paid back is then

207,422.60 - 150,000 = 57,422.6 dollars

anonymous · Answer

thank you so muuchhh! would you like to be my friend:)

jim_thompson5910 · Answer

you're welcome

jim_thompson5910 · Answer

glad to be of help

anonymous · Answer

:)