Asked by Lynda
Chris and Carol just bought a $14,000 van and financed it for 5 years at 7% interest. What are the
monthly payments?
monthly payments?
Answers
Answered by
Ms. Sue
I = PRT
I = 14,000 * 0.07 * 5
I = 4,900
(14,000 + 4,900) / 60 = _______ monthly payment
I = 14,000 * 0.07 * 5
I = 4,900
(14,000 + 4,900) / 60 = _______ monthly payment
Answered by
Lynda
What type of problem is this? amortization future value?present value? sinking fund? formula...
Answered by
Lynda
thank you ms sue
Answered by
Steve
the amortization formula is
M = Pr/(1 - (1+r)^-n)
= 14000*(.07/12)/(1-(1+.07/12)^(-12*5))
= 277.22
M = Pr/(1 - (1+r)^-n)
= 14000*(.07/12)/(1-(1+.07/12)^(-12*5))
= 277.22
There are no AI answers yet. The ability to request AI answers is coming soon!
Submit Your Answer
We prioritize human answers over AI answers.
If you are human, and you can answer this question, please submit your answer.