
Refer to Problem 18; find Huai’s monthly payment when regular payments begin.
18. Huai takes out a $3,200 student loan at 6.8% to help him with 2 years of community college. After finishing the 2 years, he transfers to a state university and borrows another $12,400 to defray expenses for the 5 semesters he needs to graduate. He graduates 4 years and 4 months after acquiring the first loan and payments are deferred for 3 months after graduation. The second loan was acquired 2 years after the first and had an interest rate of 7.2%. Find the total amount of interest that will accrue until payments begin.

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