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What is the interest you will pay if you borrowed $120 at 5% interest for 6 years?

User SymbolixAU
by
3.4k points

2 Answers

3 votes

Answer:

Hope this helps!

Explanation:

We will need the loan payment formula:

That formula is really complex and we expect you to solve it.

Your monthly payment would be $1.93 per month for 6 years making the TOTAL loan cost 1.93 * 12 * 6 = 138.96

Since the principal you borrowed is $120 the total interest =

(138.96 minus 120.00) which equals $18.96

User Badcompany
by
3.6k points
4 votes

Answer:

The answer is 36

Explanation:

120*0.05=6

6.6=36

User Benubird
by
3.2k points