Question

Based on the information below, choose the correct answer.

Note: The monthly loan payment was calculated at 119 payments of $348.33 plus a final payment of $347.54.

Loan Balance: $30,000.00
Loan Interest Rate: 7.00%
Monthly Loan Payment: $348.33
Number of Payments: 120
Cumulative Payments: $41,798.81
Total Interest Paid: $11,798.81

On average, what dollar amount of each monthly payment is interest? $
What percent of the total payments is total interest? %

Answer 1

Hi there

dollar amount of each monthly payment is interest
11,798.81÷120
=98.32

percent of the total payments is total interest
(11,798.81÷41,798.81)×100
=28.23%

Hope it helps