SOLUTION: Calculate the amount financed, the finance charge, and the monthly payments (in $) for the add-on interest loan. (Round your answers to the nearest cent.) Purchase cash price =

Question 1202141: Calculate the amount financed, the finance charge, and the monthly payments (in $) for the add-on interest loan. (Round your answers to the nearest cent.)
Purchase cash price = $766
Down Payment = 10%
Amount Financed _______??
Add on interest = 7%
Number of payments = 12
Finance Charge ________??
Monthly payment________??
Answer by Theo(13342) (Show Source): You can put this solution on YOUR website!
amount financed is .9 * 766 = 689.4
add on interest = 7% of the amount financed.
total due on amount financed = 737.658.
number of payments = 12
finance charge = .07 * 689.4 = 48.258.
monthly papyment = 737.658 / 12 = 61.4715.

here's a reference.

https://www.investopedia.com/terms/a/add-on_interest.asp#:~:text=Add%2Don%20interest%20loans%20combine,loans%20made%20to%20subprime%20borrowers.

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