Interest on a Twelve-Month Installment Loan Is to Be Calculated

question 136

Multiple Choice

Interest on a twelve-month installment loan is to be calculated using the add-on method.If the purchased to be financed is $1,000 and the add-on rate is 6%,then your monthly payment is about

• A)$76.67.
• B)$86.07.
• C)$88.33.
• D)$88.65.

---

Definitions:

Functional Economies

Economic systems oriented towards the efficient and sustainable provisioning of goods and services to meet human needs.

Retailers

Businesses or individuals that sell goods directly to consumers, usually in small quantities, from a physical space or online platform.

Service-sponsored Franchise Systems

A franchising approach where the franchisor provides a comprehensive service package to the franchisee, including training, branding, and ongoing support, typically seen in hospitality and retail industries.

Government-sponsored

Programs, initiatives, or projects that are funded or promoted by a governmental entity.