Answer:
$60,000
Step-by-step explanation:
Data provided in the question:
Duration of the loan = 10 years
Interest rate = 10%
Principle amount = $60,000
Monthly payment = $200
Now,
Total payment made in 10 years
= Monthly payment × Total months in 10 years
= $200 × 120
= $24,000
Total amount owed in 10 years
= Principle × ( 1 + rate × time)
= $60,000 × ( 1 + 0.04 × 10)
= $60,000 × ( 1.4 )
= $84,000
Thus,
Total amount owed after 10 years
= Total amount owed in 10 years - Total payment made in 10 years
= $84,000 - $24,000
= $60,000
