Katrina has the option of an 8 year non subsidized student loan of $32,000 at an annual interest rate of 2.5% or an 8 year subsidized loan of $32,000 at an annual interest rate of 4.5% Determine for which loan Katrina will pay less interest over the term of the loan if she starts making payments 2 years after obtaining the loan .Assume Katrina makes monthly payments for each loan . For each answer, enter a number Round your answers to the nearest cent as appropriate. The total interest paid in dollars on the non subsidized loan is ? The total interest paid in dollars on the subsidized loan is !

Algebra: Structure And Method, Book 1
(REV)00th Edition
ISBN:9780395977224
Author:Richard G. Brown, Mary P. Dolciani, Robert H. Sorgenfrey, William L. Cole
Publisher:Richard G. Brown, Mary P. Dolciani, Robert H. Sorgenfrey, William L. Cole
Chapter3: Solving Equation And Problems
Section3.1: Transforming Equations: Addition And Subtraction
Problem 1E
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Katrina has the option of an 8 year non subsidized student loan of $32,000 at an annual interest rate of 2.5% or an 8 year subsidized loan of $32,000 at an annual interest rate of 4.5% Determine for which loan Katrina will pay less interest over the term of the loan if she starts making payments 2 years after obtaining the loan .Assume Katrina makes monthly payments for each loan . For each answer, enter a number Round your answers to the nearest cent as appropriate. The total interest paid in dollars on the non subsidized loan is ? The total interest paid in dollars on the subsidized loan is !
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