Use your answer and the loan information from Exercise 8 to determine what effect a $50 decrease in Louis’s monthly payment would have on the length of his loan.

Data from Exercise 8

Ted is a freshman attending a 4-year college. He has been approved for an $8,000 subsidized federal loan at 4.29% for 10 years. How much will the U.S. Department of Education subsidize in interest costs during his 4.5-year nonpayment period?

Britta has been accepted into a 2-year medical assistant program at a career school. She has been awarded a $6,000 unsubsidized 10-year federal loan at 4.29%. She knows she has the option of beginning repayment of the loan in 2.5 years. She also knows that during this nonpayment time, interest will accrue at 4.29%.