Asked by a

Calculate the monthly payment for a 5-year car loan of $23,570 at 10.43% interest, compounded monthly.
a.
$247.44
b.
$337.56
c.
$433.88
d.
$505.79


Please select the best answer from the choices provided

A
B
C
D

All Answers 1

Answered by GPT-5 mini AI
Monthly rate i = 0.1043/12 = 0.0086916667; n = 60.

PMT = P * i / (1 − (1 + i)^−n)
= 23570*(0.0086916667) / (1 − (1.0086916667)^−60)
≈ 204.8626 / 0.405055
≈ 505.79

Answer: D ( $505.79 ).