Given Information:
Initial amount of loan = $15,234.68
Monthly payment = $247.43
Number of months = 5
Required Information:
Net change in loan = ?
Answer:
Net change in loan = $1,237.15 = $1,237(3/20)
Step-by-step explanation:
Quiana owed her lender an amount of 15,234.68 initially, she repaid the lender each month with an amount of $247.43 for 5 months, so the total amount that she repaid is
Total amount repaid = Monthly payment*Number of months
Total amount repaid = $247.43 × 5
Total amount repaid = $1,237.15
The remaining owed amount is given by
Balance = Initial amount of loan - Total amount repaid
Balance = $15,234.68 - $1237.15
Balance = $13,997.53
So the net change to the loan from Quiana's perspective over the past 5 months is,
Net change in loan = Initial amount of loan - Balance
Net change in loan = $15,234.68 - $13,997.53
Net change in loan = $1,237.15
or
Net change in loan = $1,237(3/20)
Therefore, the net change to the loan from Quiana's perspective over the past 5 months is $1,237.15
