Question

Quiana took out a loan to pay for a new car. Initially she owned the lender $15,234.68. She has repaid $247.43 of the loan each month for the past 5 months. What is the net changed to the loan from Quiana's perspective over the past 5 months?

Answer 1

Answer: Quiana's initial loan amount is -15, 234.68. This is the total amount of money she must pay back to the lender.

Answer 2

Answer:

$Net\ Change = \ 13997.53$

Step-by-step explanation:

Given

$Debt = \ 15,234.68$

$Monthly\ Payment= \ 247.43$

$Duration = 5\ months$

Required

Determine the net change

First, we need to determine the total repaid amount;

$Amount = Monthly\ Payment * Duration$

Substitute values for Monthly Payment and Duration

$Amount = \ 247.43 * 5$

$Amount = \ 1237.15$

The net change is the difference between the loan amount and the repaid amount

$Net\ Change = Loan\ Amount - Repaid\ Amount$

$Net\ Change = \ 15,234.68 - \ 1237.15$

$Net\ Change = \ 13997.53$

Hence, the net change over the period of 5 months is $13997.53