Question

The formula m = 12,000 + 12,000rt 12t  gives Keri's monthly loan payment, where r is the annual interest rate and t is the length of the loan, in years. What is Keri's monthly loan payment if she gets a 5% loan for 4 years? $ per month

Answer 1

The answer of per month for 4 years is 300.
The answer of per month for 5 years is 50 less per month

Answer 2

Keri's monthly loan payment if she gets a 5% loan for 4 years is $300

Explanation:

Given :
`m = (12,000 + 12,000rt)/(12t)`

r = 5%= 0.05

t = 4 years

Solution :

Since m denotes the monthly loan payment

And we are required to find Keri's monthly loan payment if she gets a 5% loan for 4 years

`m = (12,000 + 12,000*0.05*4)/(12*4)`

`m = (12,000 + 2400)/(48)`

`m = (14400)/(48)`

`m = 300`

Hence Keri's monthly loan payment if she gets a 5% loan for 4 years is $300