For the answer to the question above, asking to determine the finance charge on a $6,500 loan with an interest rate of 9.5% compounded monthly over 36 months.
6500( 1+ 0.95/36)^1
6500 (1+0.0263888888888889)
6500(1.0263888888888889)
=6671.527777777778
Now deduct that to the original FV
6671.53-6500=
The answer is
171. 53 is the interest
i hope my answer helped you.
