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Rusven
Rusven
05.12.2021 • 
Mathematics

PLEASE AWNCER QUICKLY Rich is attending a 4-year college. As a freshman, he was approved for a 10-year, federal unsubsidized student loan in the amount of $7,900 at 4.29%. He knows he has the option of beginning repayment of the loan in 4.5 years. He also knows that during this nonpayment time, interest will accrue at 4.29%.

a. How much interest will Rich accrue during the 4.5-year nonpayment period? $ 1525.095

b. If Rich decides to make no payments during the 4.5 years, the interest will be capitalized at the end of that period. What will the new principal be when he begins making loan payments? $

c. What will his monthly payment be if he decides to defer payments until after the grace period? Round to the nearest whole dollar amount. $

d. How much interest will he end up paying once he pays off the load? $

e. Suppose Rich only paid the interest during his 4 years in school and the 6-month grace period. What would his monthly payment be?

f. What will he now pay in interest over the term of his loan? $

g. Rich made his last monthly interest-only payment on November 1. His next payment is due on December 1. What will be the amount of that interest-only payment? (there are 30 days in November) $

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