Kevin has just finished paying off his loan. He was assessed a service charge of $422. He paid off the principal and the interes

Question

3 years ago

13

t by making weekly payments of $36.13 for four years. If the principal was $7,150, how much did Kevin pay in finance charges, to the nearest dollar?

2 answers:

ahrayia [7] · Answer 1 · 2022-06-25T00:21:58+03:00

4 0

For E2020 the choices are a. $498 b. $365 c. $422 d. $787 and the correct answer is d. $787

jolli1 [7] · Answer 2 · 2022-06-25T01:35:14+03:00

Answer:

Explanation:

If Kevin paid $36.13 per week for 4 years, then he paid: $36.13 x 52 weeks x 4 years = $7515.04.

So, he was assessed a service charge of $422. Therefore, $7515.04 + $422 = $7937.04; this is the total amount he paid.

To calculate the finance charges we subtract: $7937.04 - $7150 = $787.04.

Therefore, he had $787.04 from finance charges.