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11 January, 18:12

Suzanne Brett wants to borrow $55,000 from the bank. The interest rate is 6.5% and the term is for 5 years.

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Answers (2)
  1. 11 January, 20:44
    0
    The interest would be $17,878

    Use:

    P (I) (N)

    Where P = 55,000

    I = 0.065 * found by dividing 6.5/100*

    and N = 5

    55000 (.065) (5) = 17878
  2. 11 January, 21:08
    0
    The interest paid is $3,575

    The yearly payment is $11,715

    The monthly payment is $976.25
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