DIC A student has a total of $3000 in student loans that will be paid with a 48-month installment loan with monthly payments of

Question

natima [27]

2 years ago

5

DIC A student has a total of $3000 in student loans that will be paid with a 48-month installment loan with monthly payments of

$73.94. Determine the APR of the loan to the nearest one-half of a percent

Mathematics

1 answer:

gtnhenbr [62] · Answer 1 · 2022-10-17T13:30:52+03:00

Answer:

The APR of the loan was 18.30%.

Step-by-step explanation:

Given that a student has a total of $ 3000 in student loans that will be paid with a 48-month installment loan with monthly payments of $ 73.94, to determine the APR of the loan to the nearest one-half of a percent the following calculation must be done:

3,000 = 100

(73.94 x 48) = X

3,000 = 100

3,549.12 = X

3,549.12 x 100 / 3,000 = X

354,912 / 3000 = X

118.30 = X

118.30 - 100 = 18.30

Therefore, the APR of the loan was 18.30%.