First, calculate the remaining loan balance after each partial payment:
1. Interest accrued on $24,240 for 3 months at 4.75%:
$24,240 * 0.0475 * (3/12) = $287.85
Remaining balance after first partial payment: $24,240 - $4,450 - $287.85 = $19,502.15
2. Interest accrued on $19,502.15 for 5 months at 4.75%:
$19,502.15 * 0.0475 * (5/12) = $461.40
Remaining balance after second partial payment: $19,502.15 - $2,710 - $461.40 = $16,330.75
Therefore, Andres still owes $16,330.75 at maturity.
Andres Michael bought a new boat. He took out a loan for $24,240 at 4.75% interest for 3 years. He made a $4,450 partial payment at 3 months and another partial payment of $2,710 at 8 months. How much is due at maturity?
Note: Do not round intermediate calculations. Round your answer to the nearest cent.
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