Mathematics, 03.03.2021 21:30 sindy35111
HELP I NEED THE WORK TO THESE ANSWERS
Marlie will be starting college next month. She was approved for a 10-year, Federal Unsubsidized student
loan in the amount of $18,800 at 4.29%. She knows she has the option of beginning repayment of the loan
in 4.5 years. She also knows that during this non-payment time, interest will accrue at 4.29%.
1. How much interest will Marlie accrue during the 4.5-year non-payment period?
$3629.34
2. Marlie has to decide whether she can afford to make interest-only payments for the first
4.5 years or defer all payments for that period of time. If she decides to make no payments
during the 4.5 years, the interest will be capitalized at the end of that period. Suppose Marlie
decides to defer the payments.
a. What will be the new principal when she begins making loan payments?
$22,429.34
b. How much interest will she pay over the life of the loan?
$5193.46
3. Suppose Marlie only paid the interest during her 4 years in school and the six-month grace
period. What will she now pay in interest over the term of the loan?
$4352.80
No
Answers: 1
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HELP I NEED THE WORK TO THESE ANSWERS
Marlie will be starting college next month. She was approved...
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