Break on deferred-payment plan

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John has just graduated from State University. He owes $35,000 in college loans, but he does not have a job yet. The college loan company has agreed to give John a break on a deferred-payment plan that works as follows. John will not have to repay his loan for 5 years. During this “grace period” the loan obligation will compound at 4% per year. For the next 5 years, a monthly payment will be required, and the interest rate will be 0.5% per month. What will be John’s monthly payment over the 60-month repayment period?

Please can you show me detailed work on how to work this problem. i mean to say detailed steps on the problem

Reference no: EM131094443

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