Mark and Jill each have a $6500 loan with a loan term of 4 years. The interest rate on Mark's loan is 3% and the interest rate on Jill's loan is 4%. Mark's monthly payment is $144 and Jill's monthly payment is $147. How much more in interest will Jill pay than Mark? A. $144 B. $412 C. $556 D. $968

Question

Mathematics

Jaquan Parsons

25 November, 19:09

Mark and Jill each have a $6500 loan with a loan term of 4 years. The interest rate on Mark's loan is 3% and the interest rate on Jill's loan is 4%. Mark's monthly payment is $144 and Jill's monthly payment is $147. How much more in interest will Jill pay than Mark? A. $144 B. $412 C. $556 D. $968

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Jaylynn · Answer 1

To figure this out you will need to look at how much more Jilli is paying per month. If she pays $3 more per month for 48 months (4 years), that she will pay $3 x 48 more in interest. The answer is $144. The loan is the same so the difference in what they pay per month will be the difference in interest.