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28 January, 22:51

Sally Seair buys a sailboat. The price, including tax, is $5,275.00. She finances the boat over 36 months after making a $500 down payment. The true annual interest rate is 15%. What are Sally's monthly payments (principal plus interest) ?

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  1. 28 January, 23:32
    0
    5,275-500

    =4,775

    C

    (0.15*4,775*37) : (2*12)

    =1,104.21875

    Total payments

    1,104.22+4,775

    =5,879.22

    Monthly payment

    5,879.22:36

    =163.31
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