To calculate the monthly payment and total finance charge for Darius's loan, we can use the following formula:
M = P * r * (1 + r)^n / [(1 + r)^n - 1]
Where:
P = Principal = $15,000
r = Monthly interest rate = 6.8% / 12 = 0.0056667
n = Total number of payments = 4 years * 12 months/year = 48
Plugging in these values, we get:
M = 15000 * 0.0056667 * (1 + 0.0056667)^48 / [(1 + 0.0056667)^48 - 1]
M = $357.60
Therefore, Darius's monthly payment for the loan is $357.60.
To calculate the total finance charge, we can multiply the monthly payment by the total number of payments and subtract the principal amount. So,
Total finance charge = M * n - P
Total finance charge = $357.60 * 48 - $15,000
Total finance charge = $2,116.80
Therefore, the total finance charge for the loan is $2,116.80.