IB skill practice

Split loan repayment into interest and principal

Separate one repayment into interest and principal reduction.

Paper 1, Paper 2 5 marks Difficulty 4

Split loan repayment into interest and principal - exam scenario

A renewable-energy team loan balance is 23600 before a repayment of 900. Monthly interest is 0.7%. Find the principal reduction in this repayment. Enter the requested value and choose the interpretation that matches the result.

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