The Rent-to-Own Store has a six-year, interest-only loan at 7.6 percent interest. The firm originally borrowed $115,000. How much will the firm pay in total interest over the life of the loan?

A. $32,451.13

B. $53,666.67

C. $47,500.00

D. $69,000.00

E.$52,440.00

correct option is E.$52,440.00

Explanation:

given data

time = 6 year

interest rate = 7.6 percent

principal amount = $115,000

to find out

total interest over the life of the loan

solution

we get here interest that is express as by interest formula that is

interest = principal * rate * time ... 1

put here value and we get interest

interest = $115,000 * 7.6% * 6

interest = $115,000 * 0.076 * 6

interest = $52,440.00

so correct option is E.$52,440.00