Question

1) Armando loaned money from a bank to buy a Dodge Challenger that costs $30,940. The interest rate is 3.5% yearly. If he makes no payments, how much would the loan be in 3 years? What about 7 years?

Answer 1

Explanation:

Answer 2

3 years: $27691.30

7 years: $23359.70

Explanation:

3.5% of 30,940 = 1082.9

for each year there is interest, we multiply it by that amount of years.

equation: 1082.9x

3 years: 3248.7

7 years: 7580.3

since interest is subtracted, we will subtract the multiplied interests from above.

equation: 30940 - 1082.9x = answer

3 years: $27691.3

7 years: $23359.7