Question

How much will the payment be on a 2021 Jeep car costing $29,000 at 3.25 APR Interest on a 72 month loan with no down payment?

Answer 1

9514 1404 393

Answer:

$443.87

Explanation:

The amortization formula tells you the payment.

A = P(r/12)/(1 -(1 +r/12)^(-12t))

where P is the loan amount at annual rate r for t years.

A = $29,000(0.0325/12)/(1 -(1 +0.0325/12)^(-72)) = $443.87

The monthly payment will be $443.87.