Student Loans

Ramona is attending a 4-year college. As a freshman, she was approved for a 10-year, federal unsubsidized student loan for $5,300 at 4.29%. She knows he has the option of beginning repayment of the loan in 4.5 years. She also knows that during this nonpayment time, interest will accrue at 4.29%

When it asks, how much interest will Ramona accrue during the 4.5-year nonpayment period? You use ​ (a)  

• simple interest formula
• monthly payment formula
• simplified daily interest formula

Ramona is attending a 4-year college. As a freshman, she was approved for a 10-year, federal unsubsidized student loan for $5,300 at 4.29%. She knows he has the option of beginning repayment of the loan in 4.5 years. She also knows that during this nonpayment time, interest will accrue at 4.29%

If Ramona decides to make no payments during the 4.5 years, the interest will be capitalized at the end of that period.

The first thing you need to do is... (a)  

Then you....​ ​ (b)   with the​ (c)  

• use the monthly payment formula
• use the simplified daily interest formula
• find the new loan amount
• new loan amount
• original loan amount
• simple interest

Ramona is attending a 4-year college. As a freshman, she was approved for a 10-year, federal unsubsidized student loan for $5,300 at 4.29%. She knows he has the option of beginning repayment of the loan in 4.5 years. She also knows that during this nonpayment time, interest will accrue at 4.29%

If Ramona decides to make no payments during the 4.5 years, the interest will be capitalized at the end of that period.

When you find the monthly payment, your exponent will be​ (a)  

• 54
• 12
• 120
• 10
• 4.5

Ramona is attending a 4-year college. As a freshman, she was approved for a 10-year, federal unsubsidized student loan for $5,300 at 4.29%. She knows he has the option of beginning repayment of the loan in 4.5 years. She also knows that during this nonpayment time, interest will accrue at 4.29%

If Ramona decides to make no payments during the 4.5 years, the interest will be capitalized at the end of that period.

What does it mean to find the total payment?​ (a)  

• multiply monthly payment by 54
• add monthly payment to loan amount
• multiply monthly payment by 10
• multiply monthly payment by 120

Ramona is attending a 4-year college. As a freshman, she was approved for a 10-year, federal unsubsidized student loan for $5,300 at 4.29%. She knows he has the option of beginning repayment of the loan in 4.5 years. She also knows that during this nonpayment time, interest will accrue at 4.29%

If Ramona decides to make no payments during the 4.5 years, the interest will be capitalized at the end of that period.

How do you find the interest?​ ​ (a)  

• monthly payment-original loan amount
• total payments-new loan amount
• monthly payment-new loan amount
• total payments-original loan amount