Question

A car purchased for $32,000 on the terms of $7,000 down and sixty equal monthly payments to include interest of 6% per year. What is the interest portion of the first month's payment?

Question 49 options:
A)
$160
B)
$150
C)
$320
D)
$125

Answer 1

$160

Explanation:

The interest is 6% per year

That means it's 0.5% per month

So. 5% x $32000 = $160