At Westonci.ca, we connect you with the best answers from a community of experienced and knowledgeable individuals. Experience the convenience of finding accurate answers to your questions from knowledgeable professionals on our platform. Get immediate and reliable solutions to your questions from a community of experienced professionals on our platform.
Sagot :
Using simple interest, it is found that the monthly payment for this loan is of $325.485.
Simple Interest
Simple interest is used when there is a single compounding per time period.
The amount of money after t years in is modeled by:
[tex]A(t) = A(0)(1 + rt)[/tex]
In which:
- A(0) is the initial amount.
- r is the interest rate, as a decimal.
In this problem, the parameters are A(0) = 8100, r = 0.0822, t = 2.5, hence, the total amount is:
[tex]A(t) = A(0)(1 + rt)[/tex]
[tex]A(t) = 8100[1 + 0.0822(2.5)][/tex]
[tex]A(t) = 9764.55[/tex]
it will be paid over 2.5 x 12 = 30 months, hence the monthly payment is given by:
M = 9764.55/30 = $325.485.
More can be learned about simple interest at https://brainly.com/question/25296782
Thank you for your visit. We're committed to providing you with the best information available. Return anytime for more. Thanks for using our platform. We aim to provide accurate and up-to-date answers to all your queries. Come back soon. Thank you for visiting Westonci.ca, your go-to source for reliable answers. Come back soon for more expert insights.
