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Mashcka [7]
2 years ago
10

Kenise will begin college as a freshman next fall and has received a 10-year $5,500 Federal Direct Unsubsidized Loan with an int

erest rate of 6.8%. She will be required to begin making payments six months after graduation. How much interest will accrue while she is still in school and over the six-month grace period? Please round to the nearest dollar. Do not include the dollar sign.
Mathematics
1 answer:
IceJOKER [234]2 years ago
5 0

Answer: $‭3,927‬

Step-by-step explanation:

The interest will accrue as a simple interest rate for 10 years and then the grace period of six months.

The total time is therefore: 10.5 years.

Interest for those 10.5 years is:

= Loan amount * No. of periods * interest rate

= 5,500 * 10.5 * 6.8%

= $‭3,927‬

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