Final answer:
To find the future value of the loan, multiply the principal by (1 + interest rate) × time. In this case, the future value of the loan is $18,667.16.
Step-by-step explanation:
To find the future value of the loan, we can use the formula:
Future Value = Principal × (1 + interest rate) × time
Given:
Principal = $16,526
Interest rate = 6.1% = 0.061
Time = 13 months = 13/12 years
Plugging in the values:
Future Value = $16,526 × (1 + 0.061) × (13/12)
Simplifying the expression:
Future Value = $16,526 × 1.061 × 1.0833
Calculating the final value:
Future Value = $18,667.16
Therefore, the future value of the loan is $18,667.16.