Answer: (A) The total amount Amy ended up paying for the machinery was $14,823.64.
(B) Amy paid $1,900 in interest on the loan.
Step-by-step explanation:(a) To calculate the total amount Amy ended up paying for the machinery, we need to consider the down payment and the total amount paid through monthly payments.
Down payment: $1900
Total amount paid through monthly payments:
Number of monthly payments: 3 years * 12 months/year = 36 months
Monthly payment amount: $358.99
Total amount paid through monthly payments: 36 months * $358.99/month = $12,923.64
Total amount paid for the machinery (including down payment and monthly payments):
Total amount paid = Down payment + Total amount paid through monthly payments
Total amount paid = $1900 + $12,923.64 = $14,823.64
Therefore, the total amount Amy ended up paying for the machinery was $14,823.64.
(b) To calculate the interest paid on the loan, we need to subtract the loan amount from the total amount paid.
Loan amount = Total amount paid - Down payment
Loan amount = $14,823.64 - $1900 = $12,923.64
Interest paid on the loan:
Interest paid = Total amount paid - Loan amount
Interest paid = $14,823.64 - $12,923.64 = $1,900
Therefore, Amy paid $1,900 in interest on the loan.