Kate took out a subsidized stafford loan worth $9,710 to pay for college. the interest rate on the loan was 5.9%, compounded monthly. it took kate 5 years to pay off the loan after graduation. what portion of the total amount she paid represented the interest? a. $11,236.22 b. $9,710.00 c. $1,526.22 d. $2,942.37

Hi there
First need to find the monthly payment of this loan by using the formula of the present value of annuity ordinary
The formula is
Pv=pmt [(1-(1+r/k)^(-kn))÷(r/k)]
Pv present value 9710
PMT monthly payment
R interest rate 0.059
K compounded monthly 12
N time 5 years
We need to solve the formula for PMT
PMT=pv÷[(1-(1+r/k)^(-kn))÷(r/k)]
PMT=9,710÷((1−(1+0.059÷12)^(
−12×5))÷(0.059÷12))
=187.27 this is the monthly payment

Now find the interest
You know that there are 60 months in 5 years (5×12months=60months)
So just multiply the the monthly payment by 60 to get total paid and subtract the amount of the present value from the amount of total paid to get the interest

Total paid
187.27×60
=11,236.2

Interest paid
11,236.2−9,710
=1,526.2. ..answer

So it's c

Good luck!