Question

will pay equal monthly instalments.
Interest is calculated monthly and is
charged at 12% p.a. The loan is to be
6 Gyuhun takes out a loan of $1500 to
furnish his new student apartment.
The terms of the loan are that Gyuhun
repaid in two years.
a Calculate the amount that Gyuhun
has to pay each month if the first
repayment is made one month after the
money is borrowed and after interest is
calculated.
b Evaluate how much, to the nearest
dollar, Gyuhun actually has to pay for
furnishing the apartment?

Answer 1

Answer:

$77.5 per month.

Step-by-step explanation:

Gyuhun took a loan of $1500 which will be repaid in two years.

So, each month he has to pay the principal of  $.

Now, he has to give the interest also per month.

The loan is charged at 12% per year i.e 1% per month.

Therefore, the total charges per month will be 1500 × 0.01 = $15  

Therefore, each month Gyuhun has to repay  $(62.5 + 15) = $77.5.

Answer 2

Answer:

Above the answer is correct