SOLUTION: At graduation, you have a student loan of $18,000. The loan has a fixed annual interest rate of 6.8%, compounded monthly, for 10 years. What will your monthly payments be?

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Question 1121951: At graduation, you have a student loan of $18,000. The loan has a fixed annual interest rate of 6.8%, compounded monthly, for 10 years. What will your monthly payments be?
Answer by Theo(13342) About Me  (Show Source):
You can put this solution on YOUR website!
using the financial calculastor that can be found at https://arachnoid.com/finance/, your payments at the end of each month will be 207.14.

your inputs are:

present value = 18000
future value = 0
number of monthly time periods = 10 * 12 = 120
interest rate percent per monthly time period = 6.8 / 12 = .566667
payments are made at the end of each monthly time period.

click on pmt and the calculator tells you that the payment is -207.14 at the end of each month.

present value is positive because it's money you received.
payment is negative because it's money you pay out.

here's the display of my use of this calculator.

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