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Kate took out a subsidized stafford loan worth $9,710 to pay for college. the interest rate on the loan was 5.9%, compounded monthly. it took kate 5 years to pay off the loan after graduation. what portion of the total amount she paid represented the interest? a. $11,236.22 b. $9,710.00 c. $1,526.22 d. $2,942.37

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shubhamchouhanvrVT

The total amount paid by Kate as a portion of interest will be $12932.

What will be the Compound interest?

The compound interest is the interest levied upon both the principal amount and the interest from the previous periods.

The formula for the calculation of the compound interest will be given as

[tex]A=P(1+\dfrac{r}{100^} )^n[/tex]

here,

A= Amount

P= priciple

r=Rate of interest

n=Time period

Now it is given that,

P=$9710

r=5.9%

n=5

Then putting the values in the formula we get

[tex]A=9710(1+\dfrac{5.9}{100})^5[/tex]

A=$12932

Hence the total amount paid by Kate as a portion of interest will be $12932.

To know more about compound interest follow

https://brainly.com/question/24274034

Answer:

the answer is C 1,526.22

Step-by-step explanation

2022 edge test

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