document.write( "Question 1122739: You can afford a $350 per month car payment. You've found a 3 year loan at 4% interest. How big of a loan can you afford?. \n" ); document.write( "
Algebra.Com's Answer #738948 by Theo(13342)\"\" \"About 
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payment at the end of each month is 350.
\n" ); document.write( "3 year loan = 36 months.
\n" ); document.write( "4% per year compounded monthly is .333333333333.....% per month.\r
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\n" ); document.write( "\n" ); document.write( "calculator i used can be found at \r
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\n" ); document.write( "\n" ); document.write( "inputs are:\r
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\n" ); document.write( "\n" ); document.write( "present value = 0
\n" ); document.write( "future value = 0
\n" ); document.write( "number of time periods = 36 months
\n" ); document.write( "payment amount = -350 (negative because it's money going out)
\n" ); document.write( "interest rate percent per time period = 4/12 = .333333333% per month
\n" ); document.write( "payment is made at the end of each time period.\r
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\n" ); document.write( "\n" ); document.write( "click on PV and the calculator tells you that the present value of the loan is equal to $11,854.77\r
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\n" ); document.write( "\n" ); document.write( "that value is positive because it's money coming in.\r
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\n" ); document.write( "\n" ); document.write( "present value is the amount of money that you can borrow when you pay 350 at the end of each month for 36 months at 4% interest rate per year compounded monthly.\r
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\n" ); document.write( "\n" ); document.write( "here's the calculator display.\r
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