Question

Now suppose Annabelle decides to buy a gently used car instead of a new car. She knows she can set aside $200 a month

from her job to pay for the loan. The used car dealership she researched is offering an annual interest rate of 4.8%
compounded monthly. Car loans usually come in 3 year or 5-year terms. Calculate the loan amount she can take out
using these values for a 5-year and a 3-year loan, assuming her monthly payment is $200,

Answer 1

Well if Annabelle is setting aside $200 a month to gently use this vehicle...

Explanation: These would be the car payment loans and the yearly payments with a 4.8% interest rate as well. So the question here is how much is paid with the loan and intrest rate and you can find that in the linked photo attached to this answer. And how much loan money she can take out.

I am sorry the answer above was just fine I thought I could explain it a different way so you did not just have to copy and paste without getting the material. Maybe you could understand it. I hope this explanation helps!

(ignore all of the monthly payments after 5 years if you don't need it to answer your question)

Answer 2

Explanation: