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In order to buy a car, you borrow $16,000 from a friend at 7%/year compounded monthly...

In order to buy a car, you borrow $16,000 from a friend at 7%/year compounded monthly for 4 years. You plan to repay the loan with 48 equal monthly payments. The monthly payments are $383.14.

a) How much interest is in the 23rd payment?

b) what is the remaining balance after the 37th payment?

c) Three and a half years into the loan, you decide to pay it off. You have not made the payment due at that time. What is the payoff amount of the loan?

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