Personal Financial Planning 13th Edition by Lawrence Gitman,Michael Joehnk,Randy Billingsley

تمرين 10

Todd Kowalski is borrowing $10,000 for five years at 7 percent. Payments are made on a monthly basis, which are determined using the add-on method.
a. How much total interest will Todd pay on the loan if it is held for the full five-year term
b. What are Todd's monthly payments
c. How much higher are the monthly payments under the add-on method than under the simple interest method