A programmer purchases a new garage for $26,000 and makes a down payment of 30%. The remainder is financed for 2 years at an annual interest rate of 7% compounded quarterly. The quarterly payment for this loan is $2,457.78. Calculate the amount of interest paid over a 2-year term of the loan.

a.  $1,124.08
b.  $1,462.24
c.  $175.92
d.  $15,322.96


b.  $1,462.24

Mathematics

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Mathematics