(Total Costs and Debt Payoff MC)

A teacher purchased a bedroom set for $1,752, after a $125 down payment, using a 12-month deferred payment plan with an APR of 17.50% compounded monthly. Determine the total amount paid if, after the deferment period, the teacher pays $103.56 per month, for 24 months, until the balance is paid off.

$1,958.07
$2,485.44
$2,610.44
$2,089.06

Question

(Total Costs and Debt Payoff MC)

A teacher purchased a bedroom set for $1,752, after a $125 down payment, using a 12-month deferred payment plan with an APR of 17.50% compounded monthly. Determine the total amount paid if, after the deferment period, the teacher pays $103.56 per month, for 24 months, until the balance is paid off.

$1,958.07
 $2,485.44
 $2,610.44
 $2,089.06

Phantomdex · Answer

The total amount paid by the teacher for the loan is $2,610.44. The correct answer is option C.

Phantomdex · Answer

A is too low for this one. B would make more sense but the calculations don't add up and D is also a little too low.

TheJag18 · Answer

thank you :)