Sky needs $6700 for school and has two options. Option A: 5 years at 5% interest with monthly payments of $126.44 Option B: 6 years at 3.5% interest with monthly payments of $103.30 Calculate the total payback on each loan and calculate how much Sky will save by choosing option B.

Question

Mathematics

Ronnie Mendez

7 October, 14:21

Sky needs $6700 for school and has two options. Option A: 5 years at 5% interest with monthly payments of $126.44 Option B: 6 years at 3.5% interest with monthly payments of $103.30 Calculate the total payback on each loan and calculate how much Sky will save by choosing option B.

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Answers (1)

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Aileen Soto · Answer 1

148.80

Step-by-step explanation:

Take 126.44 multiply by 60 months equals 7586.40

Take 103.30 multiply by 72 months equals 7437.60

Subtract 7437.60 from 7586.40