Question

Before purchasing a used car, Jim Myers checked www.kbb.com to learn what he should offer for the used car he wanted to buy. Then he conducted a carfax.com search on the car he found to see if the car had ever been in an accident. The Carfax was clean so he purchased the used car for $15,000. She put $2,500 down and financed the rest with a 48-month, 7.5% loan.

What is her monthly car payment by formula? (Round your answer to the nearest cent.)

Answer 1

H13 fax =H9/(((1-(1+H10)^-H11))/H10) 1 2 PVA 3 c= 4 . 5 N Present value of annuity Cash flow per period Interest rate Number of payments 7 payment(C)= PVA/(((1-(1+1)^-n))/i 9 PVA 10 interest 11 nper 12500 15000-2500 0.00625 0.075/12 48 12 302.24 13 payment 14 payment(C)= 12500/(((1-(1+0.075/12)^-48))/(0.075/12) 15 302.24 16