The monthly payments on a 10year loan of 15000 at 53 interes

The monthly payments on a 10-year loan of $15,000 at 5.3% interest are $161.31.

(a) What is the total amount paid over the 10 years?

(b) What is the total amount of interest paid?

Solution

a) Total amount paid over the 10 years

=> $161.3 * 12(months) * 10(years)

=> $19356

b) Interest Paid = Total amount paid - total amount borrowed or amount of loan taken

=> $19356 - $15000

=> $4356