This problem has been solved!

Do you need an answer to a question different from the above? Ask your question!

# Suppose you are buying a car of $26000. The dealer offers that you pay a down payment of $4000 now. Then you will pay the balance with equal monthly payments for 42 months with 6% APR compounded monthly. Find: a)

Suppose you are buying a car of $26000. The dealer offers that you pay a down payment of $4000 now. Then you will pay the balance with equal monthly payments for 42 months with 6% APR compounded monthly. Find:

a) How much is the effective annual interest?

b) How much is the monthly payments?

c) How much is the total interest you will have to pay?

- Expert Answer

## a Effective annual interest 1 View the full answer

**Related Book For**

Post a Question and Get Help

Cannot find your solution?

Post a FREE question now and get an answer within minutes*.

*Average response time.