69.9k views
3 votes
You want to buy a new sports car from Muscle Motors for $44,600. The contract is in the form of a 60-month annuity due at an APR of 6.35 percent. What will your monthly payment be

1 Answer

5 votes

Answer:

Assume that interests are paid annually as principals and the repayment method is depreciated. The monthly payment including principals and interests for the 12th, 24th, 36th, 48th, 60th month are $11,752 , $11,186 , $10,619 , $10,053 , $9,486 , respectively. There are no payment for other months during the 60-month plan.

Step-by-step explanation:

Unit: $

Month Principal Interest Total payment

12 8,920 2,832 11,752

24 8,920 2,266 11,186

36 8,920 1,699 10,619

48 8,920 1,133 10,053

60 8,920 566 9,486

User Anthony Griggs
by
5.6k points