Answer:
$104.11
Explanation:
To calculate the monthly payment for a loan, we can use the following formula:
Monthly payment = (Pr(1+r)^n) / ((1+r)^n-1)
where:
P = the principal amount (the amount borrowed)
r = the monthly interest rate (annual interest rate divided by 12)
n = the number of payments (total number of years multiplied by 12)
In this case, the principal amount is $3825, the annual interest rate is 15%, and the loan term is 4 years. So we have:
P = $3825
r = 0.15/12 = 0.0125
n = 4*12 = 48
Substituting these values into the formula, we get:
Monthly payment = (38250.0125(1+0.0125)^48) / ((1+0.0125)^48-1)
Monthly payment ≈ $104.11
Therefore, the monthly payment for a $3825 loan at 15% annual interest for 4 years is approximately $104.11.