How much do you have to pay each month

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Suppose by the time you graduate your student loan will accumulate to $33,000, the national average for college graduates of 2014. If you plan to pay back the loan in 5 years with equal monthly payment, and assume the interest rate is 6% compounded monthly. How much do you have to pay each month? Please briefly show the steps for how you arrive at your answer. If you're thinking about solving the problem the following way: $33,000/(12*5)=$550, you've missed the point of this chapter grandly.

Reference no: EM13728679

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