Question

What is the maximum amount of a loan you can get if you pay $700 each month at a yearly rate of 0.89% for 10 years?

Answer 1

$785.17

Explanation:

Given data

PV is the loan amount

PMT is the monthly payment

i is the interest rate per month in decimal form (interest rate percentage divided by 12)

n is the number of months (term of the loan in months)

PMT =$700

n = 10 years

i = 0.89%

The formula for the loan amount is