Final answer:
To calculate how many payments Ron should make on the repayment date, we use formulas related to financial mathematics, focusing on loan amortization and payments. By making higher monthly payments, Ron will save on both time and total interest paid on the loan.
Step-by-step explanation:
The question related to how many payments Ron should make on the repayment date is a mathematical question involving the calculation of loan repayments and the amortization of a loan over time. This topic falls under the category of financial mathematics, which often deals with loan payments, interest rates, and the time value of money.
To find the monthly payment for a $300,000 loan at 6% annual interest rate convertible monthly over 30 years, we use the formula for a fixed-rate mortgage. The student is also asked to compare how much time and money would be saved if instead of making 12 payments a year, 13 payments were made (which is equivalent to increasing the monthly payment by a fraction of 12).
It is crucial to calculate the exact figures using the formulas provided, but generally speaking, by making higher payments, Ron would decrease both the total interest paid over the life of the loan and the time it takes to pay off the loan entirely.