Solve the Problem Using the Rule of 78s

question 139

Multiple Choice

Solve the problem using the rule of 78s.
-Caroline Jones took out a 48-month fixed installment loan of $21,000 to open a restaurant. She Began making monthly payments of $533.75. Carolineʹs business does better than expected and Instead of making her 27th payment, Caroline decides to repay her loan in full. What is the total
Amount due to pay off the balance?

• A) $10,835.00
• B) $10,348.64
• C) $11,022.34
• D) $10,301.25

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Definitions:

Balanced Scorecard

A strategic planning and management system used by organizations to communicate objectives, monitor performance, and evaluate their progress towards achieving strategic goals.

Financial Measures

Quantitative indicators used to assess the financial stability, performance, and liquidity of a business entity.

Learning and Growth

Refers to the strategies and processes that facilitate the continuous improvement and development of employees, systems, and organizational capabilities.

Balanced Scorecard

A strategic planning and management system used by organizations to align business activities to the vision and strategy, improve internal and external communications, and monitor organizational performance against strategic goals.