Abdullah borrowed from a bank an amount of 12,000 dinars for a period of 4 years at an interest rate of 7%.

Abdullah borrowed from a bank an amount of 12,000 dinars for a period of 4 years at an interest rate of 7%. Find the value of the monthly installment?

a. 320 kwd

b. 256 kwd

Expert Solution

Answer: a. 320 kwd

Explanation:

Total interest = 12,000 x 7% x 4years = 3360

Total months = 4 x 12 = 48

Monthly instalment = ( 12,000 + 3,360 ) / 48

= 15,360 / 48

= 320

ekkarill92 answered 2 years ago

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