Question

Jocelyn Denot took out a $4,800 installment loan at 17% for 12 months for remodeling expenses. Her monthly payments were $437.78. After five payments, the balance due was $2,897.95. If Jocelyn pays off the loan with the sixth payment, how much will she save?

Answer 1

Hi there
total payments
437.78×12
=5,253.36
If Jocelyn pays off the loan
437.78×5+2,897.95
=5,086.85
she will save
5,253.36−5,086.85
=166.51

Good luck!