Answer:
3,604,389
Step-by-step explanation:
Monthly payment P = [tex]\frac{a}{[(1+r)^{n} - 1] / [r(1+r)^{n}] }[/tex]
where a = total loan amount, r = periodic rate, n = number of payment periods
a = 500,000 ; r = 0.12 ; n = (5 x 12) = 60 months
P = [tex]\frac{500000}{[(1+0.12)^{60} - 1] / [0.12 (1+0.12)^{60} ] }[/tex]
P = [tex]\frac{500000}{(896.597) / (107.712)}[/tex]
p = 60,073.151
Total amount paid = 60073.151 x 60 = 3,604,389
