Question

You take out a $25,500 car loan at 8.4% APR.

(a) What is the monthly or periodic interest rate?
(b) Your monthly rate can be expressed as a ratio x: 100. What quantity does the x represent?
(c) How much interest is charged in the first month?

Answer 1

Payment Every Month $314.80

Total of 120 Payments $37,776.16

Total Interest $12,276.16

Explanation: