Points$]$

TAMUBUSMATH $6\mathrm{.}2\mathrm{.}010.1/6$ Submissions Used

MY NOTES

You purchase an RV by making a down payment of $$10,500.$ The terms of your finance agreement have an annual interest rate of $2\mathrm{.}36\%,$ compounded monthly,

and require you to make $36$ monthly payments of $$1,494\mathrm{.}75$ each. What is the cash price $($in dollars$)$ of your RV$?($Round your answer to the nearest dollar.$)$

Points$]$

TAMUBUSMATH $6\mathrm{.}2\mathrm{.}011.0/6$ Submissions Used

You purchase a plot of land worth $$54,000$ to create a community garden. To do so$,$ you secure a $10-$year loan, charging $5\mathrm{.}22\%$ APR, compounded monthly, and

requiring monthly payments of $$505.($Assume the value of the land is still $$54,000.$ Round each answer to the nearest dollar.$)$

$($a$)$ Assuming that you put some money down, what was your original loan amount $($in dollars$)?$

$

$($b$)$ What is the outstanding balance $($in dollars$)$ on your loan after making $4$ years of payments?

$

$($c$)$ How much equity $($in dollars$)$ do you have in the garden after $4$ years?

$