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The following table shows the monthly loan payments for a loan of various interest rates and times for repayment. The amounts shown have been calculated assuming a principal of \$1,000.

In the sortable table below, click on the column title to organize the table by that column's values.

Monthly Loan Payments for each $1000 of Principal

Rate 1 year 2 years 3 years 4 years 5 years 10 years
4.00% \$ 85.15 \$ 43.42 \$ 29.52 \$ 22.58 \$ 18.42 \$ 10.12
4.25% \$ 85.26 \$ 43.54 \$ 29.64 \$ 22.69 \$ 18.53 \$ 10.24
4.50% \$ 85.38 \$ 43.65 \$ 29.75 \$ 22.80 \$ 18.64 \$ 10.36
4.75% \$ 85.49 \$ 43.76 \$ 29.86 \$ 22.92 \$ 18.76 \$ 10.48
5.00% \$ 85.61 \$ 43.87 \$ 29.97 \$ 23.03 \$ 18.87 \$ 10.61
5.25% \$ 85.72 \$ 43.98 \$ 30.08 \$ 23.14 \$ 18.99 \$ 10.73
5.50% \$ 85.84 \$ 44.10 \$ 30.20 \$ 23.26 \$ 19.10 \$ 10.85
5.75% \$ 85.95 \$ 44.21 \$ 30.31 \$ 23.37 \$ 19.22 \$ 10.98
6.00% \$ 86.07 \$ 44.32 \$ 30.42 \$ 23.49 \$ 19.33 \$ 11.10
6.25% \$ 86.18 \$ 44.43 \$ 30.54 \$ 23.60 \$ 19.45 \$ 11.23
6.50% \$ 86.30 \$ 44.55 \$ 30.65 \$ 23.71 \$ 19.57 \$ 11.35
6.75% \$ 86.41 \$ 44.66 \$ 30.76 \$ 23.83 \$ 19.68 \$ 11.48
7.00% \$ 86.53 \$ 44.77 \$ 30.88 \$ 23.95 \$ 19.80 \$ 11.61
7.25% \$ 86.64 \$ 44.89 \$ 30.99 \$ 24.06 \$ 19.92 \$ 11.74
7.50% \$ 86.76 \$ 45.00 \$ 31.11 \$ 24.18 \$ 20.04 \$ 11.87
7.75% \$ 86.87 \$ 45.11 \$ 31.22 \$ 24.30 \$ 20.16 \$ 12.00
8.00% \$ 86.99 \$ 45.23 \$ 31.34 \$ 24.41 \$ 20.28 \$ 12.13
8.25% \$ 87.10 \$ 45.34 \$ 31.45 \$ 24.53 \$ 20.40 \$ 12.27
8.50% \$ 87.22 \$ 45.46 \$ 31.57 \$ 24.65 \$ 20.52 \$ 12.40
8.75% \$ 87.34 \$ 45.57 \$ 31.68 \$ 24.77 \$ 20.64 \$ 12.53
9.00% \$ 87.45 \$ 45.68 \$ 31.80 \$ 24.89 \$ 20.76 \$ 12.67
9.25% \$ 87.57 \$ 45.80 \$ 31.92 \$ 25.00 \$ 20.88 \$ 12.80
9.50% \$ 87.68 \$ 45.91 \$ 32.03 \$ 25.12 \$ 21.00 \$ 12.94
9.75% \$ 87.80 \$ 46.03 \$ 32.15 \$ 25.24 \$ 21.12 \$ 13.08
10.00% \$ 87.92 \$ 46.14 \$ 32.27 \$ 25.36 \$ 21.25 \$ 13.22
10.25% \$ 88.03 \$ 46.26 \$ 32.38 \$ 25.48 \$ 21.37 \$ 13.35
10.50% \$ 88.15 \$ 46.38 \$ 32.50 \$ 25.60 \$ 21.49 \$ 13.49
10.75% \$ 88.27 \$ 46.49 \$ 32.62 \$ 25.72 \$ 21.62 \$ 13.63
11.00% \$ 88.38 \$ 46.61 \$ 32.74 \$ 25.85 \$ 21.74 \$ 13.78
11.25% \$ 88.50 \$ 46.72 \$ 32.86 \$ 25.97 \$ 21.87 \$ 13.92
11.50% \$ 88.62 \$ 46.84 \$ 32.98 \$ 26.09 \$ 21.99 \$ 14.06
11.75% \$ 88.73 \$ 46.96 \$ 33.10 \$ 26.21 \$ 22.12 \$ 14.20
12.00% \$ 88.85 \$ 47.07 \$ 33.21 \$ 26.33 \$ 22.24 \$ 14.35
12.25% \$ 88.97 \$ 47.19 \$ 33.33 \$ 26.46 \$ 22.37 \$ 14.49
12.50% \$ 89.08 \$ 47.31 \$ 33.45 \$ 26.58 \$ 22.50 \$ 14.64
12.75% \$ 89.20 \$ 47.42 \$ 33.57 \$ 26.70 \$ 22.63 \$14.78

Decide whether the following statements are true or false.

True

False

Compare the total interest paid on a 2 year loan at 5.25% to a 10 year loan at 5.25%. The total interest paid on the 10 year loan will be more than five times as great as the total interest paid on the 2 year loan.

The total interest paid on a 5 year loan at 11.00% for a principal of $43,000 will be greater than one-third of the principal.

There exists the possibility on this table of finding a rate and time combination for which the total interest will equal the principal.

The monthly payment for a 7 ½ year loan at 4.00% interest would appear to be $14.27.

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