Give the step-by-step reasoning process and then the final answer. Sarah wants to start a cupcake business and was approved for a business loan. The loan has 0% interest if she pays the entire amount back in 5 years, which she decides to do. If she put $10,000 down as a down payment and her monthly payments are $600.00, how much was her loan for (including the down payment)?
To avoid interest she'll make payments for 5 years. There are 12 months in 1 year so that's 5 * 12 = 60 months. Each monthly payment is $600.00 and she'll pay that for 60 months for a total of 600 * 60 = $36,000. She also put $10,000 down as a down payment and her monthly payments came out to $36,000 so her loan was for 10000 + 36000 = $46,000.
The final answer: 46000.