Final answer:
The monthly payment on an add-on loan for $11,000 with a 6.5% interest rate for 30 months would be $32,450.
Step-by-step explanation:
The monthly payment on a 6.5%, 30-month, add-on loan for $11,000 can be calculated using the formula:
Monthly payment = Principal + (Principal x Rate x Time)
Given that the Principal = $11,000, Rate = 6.5% (or 0.065 as a decimal), and Time = 30 months, we can substitute these values into the formula to find the monthly payment:
Monthly payment = $11,000 + ($11,000 x 0.065 x 30)
Simplifying the calculation gives us the monthly payment on the loan:
Monthly payment = $11,000 + $21,450
Monthly payment = $32,450
Therefore, the monthly payment on an add-on loan for $11,000 with a 6.5% interest rate for 30 months would be $32,450.