Earl Miller plans to buy a boat for $19,500 with an interest charge of $2500. Earl figures he can afford a monthly payment of $650. If Earl has to pay 36 equal monthly payments, by how much can he afford the boat per month?

Answer 1

M.P. = (P+I)/N \=(19500+2500) / 36= $611.11 = Monthly payments.

Margin = 650 - 611.11 = $38.89.

Answer 2

thanks