Ask Question
25 June, 15:24

What would a monthly payment be on a purchase of a $11,000 car at 5.9% for

4 years?

A. $257.83

B. - $257.83

c. $250.00

D. $252.50

+1
Answers (1)
  1. 25 June, 15:35
    0
    The correct answer is A. 257.83

    Step-by-step explanation:

    Let's use the formula for calculating the monthly payment, as follows:

    A = P * (r (1+r) ^{n}) / ((1+r) ^{n}-1) }

    A = the monthly payment.

    P = the principal = $ 11,000

    r = the interest rate per month, which equals the annual interest rate divided by 12 = 0.059/12 = 0.0049167

    n = the total number of months = 48

    Replacing with the real values, we have

    A = 11,000 * [0.0049167 * (1 + 0.0049167) ⁴⁸] / (1 + 0.0049167) ⁴⁸ - 1

    A = 11,000 * [0.0049167 * 1.265444343 ]/1.265444343 - 1

    A = 11,000 * [0.0049167 * 1.265444343 ]/0.265444343

    A = 68.43991224 / 0.265444343

    A = $ 257.83

    The correct answer is A. 257.83
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “What would a monthly payment be on a purchase of a $11,000 car at 5.9% for 4 years? A. $257.83 B. - $257.83 c. $250.00 D. $252.50 ...” in 📙 Mathematics if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers