Question

James borrows $4,200 to pay his college tuition. He signs a 5-year simple interest loan. lf the monthly payments are $78.40, what is the interest rate on the loan?

Answer 1

4,704 I hope this really helps

Answer 2

Since there are 12 months in a year you have to multiply it by your monthly payments which is 78.40
12×78.40=940.8
Since that is only a year payment you have to multiply it by your loan which is 5 years
940.8×5=4,704
So the loan is $4,704