Gertrude takes out a $5,500 subsidized stafford loan, which must be paid back in ten years. gertrude will graduate four years after taking out the loan. if the loan has an interest rate of 6.8%, compounded monthly, and gertrude makes monthly payments, how much interest will she pay by the time the loan is repaid? round all dollar values to the nearest cent.

Interest to be paid = $2904

Step-by-step explanation:

As we know the formula of per month installments

By putting the value of P (loan applied for)=$5500

r (Monthly rate of interest)

n = number of monthly installments = 10×12 = 120

E.M.I.=$63.29

Total Installments of loan =120

Therefore total amount paid against loan = $63.39×120=7594.28

So interest paid = 7594.28-5500= $2094.28

answer: 12,000

step-by-step explanation: first you ar e supposed to add. then multiply then subtract