Question

You are borrowing $ 12640 to buy a car. If you pay the loan off in 3 years 36 months, estimate your monthly payment by ignoring interest and rounding the loan to the nearest hundred dollars?

Answer 1

To estimate the monthly payment for a car loan of $12,640 over 3 years, we divide the loan amount by the number of months and round to the nearest hundred dollars. The estimated monthly payment is approximately $351.11.

Step-by-step explanation:

To estimate the monthly payment for a $12,640 car loan over 3 years (36 months), we need to round the loan amount to the nearest hundred dollars. In this case, the loan amount is already a multiple of $100, so we don't need to make any rounding adjustments.

Now, we can simply divide the loan amount by the number of months to approximate the monthly payment.

Monthly payment = Loan amount / Number of months

Monthly payment = $12,640 / 36

Monthly payment ≈ $351.11

So, the estimated monthly payment for the car loan would be approximately $351.11, ignoring any interest and rounding the loan amount to the nearest hundred dollars.