Question

If Ethan takes out a $5,000 loan to buy a motorcycle and his payments are $168.45 a month for 36 months, how much money will he pay in interest over the life of the loan?

Answer 1

$1064.20

Explanation:

36 payments of $168.45 have a total of $6064.20. The excess over the loan amount of $5000 is the interest paid:

$6064.20 -5000 = $1064.20 . . . . interest paid