Case summary:
Mrs. C, who recently graduated from a 4-year public university, is excited to start her new career in the fall as a high school mathematics teacher in Northern Virginia. Her salary will be $37,500. Although Mrs. C received several scholarship and grants each semester in college, she relied on student loans to meet the cost of tuition and other educational expenses. By the time she graduated, Mrs. C had accumulated $27,850 in student loan debt (in both Direct Subsidized and Direct Unsubsidized Loans).
Character in this case:
Mrs. C
Adequate information:
Salary is $37,500.
Loan Amount is $27,850.
Interest Rate is 4.66%.
Gross income is $30,000.
To determine:
The amount of monthly payments and total interest for a standard loan repayment, a graduated loan repayment, and an income-based repayment.
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Personal Finance: Turning Money into Wealth, Student Value Edition, Plus MyLab Finance -- Access Card Package (7th Edition)
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