Gretta can quality for a consumer loan at 4.11% APR. She wants to buy a piano...

Question

Question

Gretta can quality for a consumer loan at 4.11% APR. She wants to buy a piano for $12,275 and wonders what the monthly paymen

business finance

Answer 1

Answer #1

Correct answer: $277.76/month

Please refer to below spreadsheet for calculation and answer. Cell reference also provided.

B $12,275.00 Loan amount for Piano Term in years APR Monthly interest rate No. of monthy payments 4.11% 0.3425% 48 Amount of

Cell reference -

A 1 2 PV 12275 3 4 Loan amount for Piano Term in years APR Monthly interest rate No. of monthy payments 0.0411 =C4/12 =C3*12

Hope this will help, please do comment if you need any further explanation. Your feedback would be highly appreciated.

Answer 2

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