Sue Stitch buys a sewing machine. The price, including tax, is $575.00. She finances the sewing machine over 24 months after making a $25 down payment. The true annual interest rate is 15%. What are Sue's monthly payments (principal plus interest)?

Question

To the nearest penny, c = $.
Total of payments = amount financed + c = $.
Total of payments ÷ number of payments = monthly payment = $ .

Answer 1

Po = 575-25 = $550 = Amount of loan.

I = Po*r*t = 550*0.15*2yrs = $165.

P = Po + I = 550 + 165 = $715 = Total
cost.

P/t = 715/24mo. = $29.79/mo.

Answer 2

Sue Stitch buys a sewing machine. The price, including tax, is $575.00. She finances the sewing machine over 24 months after making a $25 down payment. The true annual interest rate is 15%. What are Sue's monthly payments (principal plus interest)?

Answer 3

c=85.94
total of payments=635.94
monthly payments=26.50