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If you borrow $700 for 5 years at an annual interest rate of 7% how much will you pay altogether

User Unnawut
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2 Answers

7 votes

If you borrow $700 for 5 years at an annual interest rate of 7%, and the loan requires you to make equal monthly payments, then the total amount you will pay back depends on the type of loan and payment schedule. Assuming a simple interest loan with equal monthly payments, you will pay a total of $814.20 over the course of the loan.

This calculation is based on the following assumptions:

The interest rate is simple interest, meaning that it is applied only to the principal amount of the loan.

The loan has a fixed interest rate for the entire term.

The loan requires you to make equal monthly payments, which include both principal and interest.

So, if you borrow $700 for 5 years at an annual interest rate of 7%, and you make equal monthly payments over the term of the loan, you will pay a total of $814.20.

User Modika
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4 votes

Answer:25,000.00

Explanation:

User Oefe
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