1. **State the problem:** Calculate the quarterly interest payment and total interest for a loan of 25000 with an annual interest rate of 8%, paid quarterly over 6 years. 2. **Identify given values:** Loan amount $P = 25000$ Annual interest rate $r = 0.08$ (8%) Term $T = 6$ years Payments per year $n = 4$ (quarterly) Number of periods $N = T \times n = 6 \times 4 = 24$ 3. **Calculate interest rate per period:** $$\text{Interest per period} = \frac{r}{n} = \frac{0.08}{4} = 0.02 = 2\%$$ 4. **Calculate interest payment per period:** $$\text{Interest payment} = P \times \text{Interest per period} = 25000 \times 0.02 = 500$$ Each quarter, Irene pays 500 in interest. 5. **Calculate total interest over 24 periods:** $$\text{Total interest} = \text{Interest payment} \times N = 500 \times 24 = 12000$$ 6. **Summary:** Irene will pay 500 interest every quarter for 24 quarters, totaling 12000 in interest over 6 years.