Kim wants to buy a car. Help Kim compute the monthly payment on a loan, given the loan amount, the annual percentage rate of interest, and the number of monthly payments. The program should allow Kim to input the loan amount, interest rate, and how many payments she wants to make. It should then compute and display the monthly payment.

You will need the following variables:

You will need the following formulas:

MonthlyRate = InterestRate/1200

Note: when the user enters InterestRate as a percentage, it must be divided by 100 to make it a decimal (i.e., 18% = 18/100 = 0.18). The InterestRate offered by car dealers is an annual rate so this must be divided by 12 to get the MonthlyRate. The formula given above combines the two steps (i.e., annual rate of 18% = 18/100 = 0.18 and the monthly rate is 0.18/12 = 0.015 or 18/(100*12) = 18/1200.

Payment = LoanAmt * MonthlyRate * (1 + MonthlyRate)^NumberMonths ÷ ((1 + MonthlyRate)^NumberMonths – 1).

Transcribed Image Text:

Payment LoanAmt InterestRate MonthlyRate NumberMonths