You want to buy new car that will cost $93,000. The bank will lend you the money at 8.7% p.a. compounded quarterly over five years. To reduce the amount of the loan repayments you will make a special payment at the end of the loan of $37,000. The $37,000 payment is instead of the quarterly loan payments. What is the amount of the 19 regular quarterly loan repayments on this five year loan?

Answer rating: 100% (QA)

Step 1 Calculate the remaining loan amount after the special payment Remaining Loan Amount Total Cos... View the full answer