77 399
Assignments Done
98,7%
Successfully Done
In July 2019

Answer to Question #87876 in Financial Math for Halle

Question #87876
Matt wants to buy a new riding lawn mower. The price is $2595. He finances the mower over 36 months after making a down payment of $395. The true annual interest rate is 12%. What is Matt’s monthly payments? (Principal plus interest)
Use the formula I = (2yc)/(m(n+1))
Expert's answer

I(Interest)= 2YC/(M(N+1)), where y = payments per year; c = total interest paid; m = amount financed; n = total number of payments.

0.12 = 2×12×C/((2595 - 395)×37) ,

C = 0.12×2200×37/(2×12) = $407.

Need a fast expert's response?

Submit order

and get a quick answer at the best price

for any assignment or question with DETAILED EXPLANATIONS!

Comments

No comments. Be first!

Leave a comment

Ask Your question

Submit
Privacy policy Terms and Conditions