Consider a student loan of 25000 at a fixed APR of 6% for 15 years calculate the monthly payment

Answer: Monthly payments of student loan 25000 at fixed APR of 6% for 15 years is 264 units of money approximately Solution: Given that  Amount of student loan P = 25000 APR = R = 6% Duration = T = 15 years  First let’s calculate interest on loan. Interest = [tex]\frac{P \times R \times T}{100}[/tex] = [tex]\frac{25000 \times 6 \times 15}{100}[/tex] = 22500 Total amount needs to pay back = Loan amount + interest = 25000 + 22500 = 47500 Duration in which amount needs to be pay back = 15 years = 15 [tex]\times[/tex] 12 = 180 months Monthly payment = Total amount needs to pay back / duration in months  = [tex]\frac{47500}{180}[/tex]= 263.88. Hence monthly payments of student loan 25000 at fixed APR of 6% for 15 years is 263.888 approx 264 units of money.