Answer:
total cost of her loan be if she paid it off 8 years early $389,507.11
Step-by-step explanation:
The formula for annual compound interest, including principal sum P, rate of interest r, number of years t, and the number of times that interest is compounded per year is n:
A = P (1 + r/n)^ (nt)
calculate total cost after 22 years
P = $145,000
r = 4.5 %
t = 22 years
n = 12
A = P (1 + r/n)^ (nt)
A = 145,000(1 + 4.5/12)^ (22x12)
A = $389,507.11
