document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=1205850>Question 1205850</A>: <I><SPAN STYLE=\"word-break: break-all;\"> Bought service vehicle worth 200,000; paid 40% cash, while the balance in 4 equal monthly installments with 2% interest per month.\r<BR>\n" );
document.write( "\n" );
document.write( "How much is the interest? </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #842906 by </B><A HREF=/tutors/aboutme.mpl?userid=Theo><B>Theo(13342)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=Theo><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/cgi-bin/show-face.mpl?user=Theo><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=842906\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> 40% of 200,000 was paid in cash.<BR>\n" );
document.write( "that left 60% to be financed.<BR>\n" );
document.write( "200,000 * .6 = 120,000 that was financed.<BR>\n" );
document.write( "this was to be paid in 4 equal monthly installments with 2% interest rate per month.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "the financial calculator at <a  rel=nofollow HREF= \"C:\Users\dtheo\Pictures\G27.1041.53.jpg\" target = \"_blank\">C:\Users\dtheo\Pictures\G27.1041.53.jpg</a> can be used to solve this.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "there are formulas you can use as well, but the calculator is much easier and uses the same formulas.<BR>\n" );
document.write( "if you need to use formulas, let me know and i'll send you the appropriate formula for this problem.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "i used the calculator and came up with the following results.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "the payment at the end of each month was 31,514.85.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "there were 4 payments for a total payment of 126,059.4.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "since the amount due was 120,000, then the difference was the interest on the loan.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "that was equal to 6,059.4.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "since the number of payments was small, you could actually calculate what happened month by month.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "it works like this.<BR>\n" );
document.write( "the amount of the loan was 120000<BR>\n" );
document.write( "the payment at the end of each month was 31514.85 rounded to the nearest penny.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "at the end of the first month, the amount owed became 120000 * 1.02 = 122400.<BR>\n" );
document.write( "the payment was subtracted from that to get a remaining balance of 90885.15.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "at the end of the second month, the amount owed became 90885.15 * 1.02 = 92702.853.<BR>\n" );
document.write( "the payment was subtracted from that to get a remaining balance of 61188.003.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "at the end of the third month, the amount owed became 61188.003 * 1.02 = 62411.76306.<BR>\n" );
document.write( "the payment was subtracted from that to get a remaining balance of 30896.91306.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "at the end of the fourth month, the amount owed became 30896.91306 * 1.02 = 31514.85132.<BR>\n" );
document.write( "the payment was subtracted from that to get a remaining balance of .0013212.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "without rounding of intermediate results, that amount would have been 0.<BR>\n" );
document.write( "in fact, if you round the remaining balance to 2 decimal places, it becomes 0.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "the total number of payments was 4.<BR>\n" );
document.write( "31,514.85 * 4 = 126,059.40.<BR>\n" );
document.write( "since the loan was for 120,000, then the interest paid was 6,059.40.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "that's your solution.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "here's what the calculator results look like.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "<IMG STYLE=\"max-width:80%;\" src = \"http://theo.x10hosting.com/2024/012651.jpg\">\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "inputs are everything except payment.<BR>\n" );
document.write( "output is payment.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "<BR>\n" );
document.write( "<BR>\n" );
document.write( "<BR>\n" );
document.write( "<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( " </SPAN>\n" );
document.write( "</TD></TR></TABLE>\n" );