10. The Jacksons are taking out a $35,000 loan to remodel their home. The tables below show the rates for a

10. The Jacksons are taking out a $35,000 loan to remodel their home. The tables below show the

rates for a 1-year and 5-year loan from two different lenders. Complete each table to calculate the
total repayment and interest paid for each loan offer.
LOAN AMOUNT
TERM
RATE
MONTHLY
PAYMENTS
TOTAL
REPAYMENT
INTEREST
PAID
$35,000
4.99%
$2,996.10
1 year
5 years
$35,000
4.99%
$660.33
Which term length would result in the lowest total repayment for the Jackson’s, and how much lower
would it be?
Which term length would result in the lowest total repayment and by how much?


One Reply to “10. The Jacksons are taking out a $35,000 loan to remodel their home. The tables below show the rates for a”

  1. The term length that would result in the lowest total repayment is the 5 year term and the difference would be $2,335.77

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