A $10,000 loan at 8% compounded quarterly, with $318.23 per quarter payments, will take 50quarters to pay off.

Name: A $10,000 loan at 8% compounded quarterly, with $318.23 per quarter payments, will take 50quarters to pay off.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Using the formula for the present value of an annuity, we can calculate that the quarterly payments of $318.23 will pay off the $10,000 loan in exactly 50 quarters. Therefore, the statement is true.

A $10,000 Loan at 8% Compounded Quarterly, with $318