The two pictures are connected on the question

3. Car Loan When you borrow money to buy a house or a car, the loan is paid off with a sequence of equal monthly payments with a stated annual interest rate compounded monthly. The amount borrowed is called the principal. If the annual interest rate is 6% (or.06), then the monthly interest rate is .06/12=.005. At any time, the balance of the loan is the amount still owed. The balance at the end of each month is calculated as the balance at the end of the previous month, plus the interest due on that balance, and minus the monthly payment. For instance, with an annual interest rate of 6%, [new balance ]=[ previous balance ]+.005 - [previous balance ][ monthly payment] =1.005 [previous balance] - [monthly payment]. Suppose you borrow $15,000 to buy a new car at 6% interest compounded monthly and your monthly payment is $290.00. After how many months will the car be half paid off? That is, after how many months will the balance be less than half the amount borrowed? See Fig. 3.35 on the next page. Chapter 3 Structures That Control Flow LoanwillbehalfpaidAnnuitywillbeworthmoreoffafter33months.than$3000after29months. FIGURE 3.35 Outcome of Exercise 23. FIGURE 3.36 Outcome of Exercise 24