Question:Katie plans to purchase a new car. She decides to borrow
$25,000 from her friend at...
Question
Katie plans to purchase a new car. She decides to borrow
$25,000 from her friend at...
Katie plans to purchase a new car. She decides to borrow
$25,000 from her friend at 8% per year compounded monthly for 4
years. She plans to repay the loan with 48 equal monthly payments.
How much is the monthly payment?
How much interest is in the 23^{rd} payment?
What is the remaining balance immediately after she made her
37^{th} payment?
Later, she became able to pay off the loan at the end of the
30th month. She has not yet made the payment due at that month.
What is the payoff amount for her loan at that time?