document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=1206219>Question 1206219</A>: <I><SPAN STYLE=\"word-break: break-all;\"> You can afford a $300 per month car payment. You've found a 5 year loan at 8% interest.<BR>\n" );
document.write( "What the maximum loan could be?\r<BR>\n" );
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document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #843512 by </B><A HREF=/tutors/aboutme.mpl?userid=math_tutor2020><B>math_tutor2020(3816)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=math_tutor2020><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/images/nopicture.jpg><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=843512\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> <font color=black size=3><BR>\n" );
document.write( "Answer: <font color=red size=4>$14,795.53</font>\r<BR>\n" );
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document.write( "Explanation\r<BR>\n" );
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document.write( "Monthly payment formula<BR>\n" );
document.write( "P = (L*i)/( 1-(1+i)^(-n) )<BR>\n" );
document.write( "where,<BR>\n" );
document.write( "P = monthly payment<BR>\n" );
document.write( "L = loan amount<BR>\n" );
document.write( "i = monthly interest rate in decimal form<BR>\n" );
document.write( "n = number of months\r<BR>\n" );
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document.write( "We will plug in:<BR>\n" );
document.write( "P = 300<BR>\n" );
document.write( "i = 0.08/12 = 0.006666667 approximately<BR>\n" );
document.write( "n = 60 (since 5 years = 5*12 = 60 months)\r<BR>\n" );
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document.write( "So,<BR>\n" );
document.write( "P = (L*i)/( 1-(1+i)^(-n) )<BR>\n" );
document.write( "300 = (L*0.006666667)/( 1-(1+0.006666667)^(-60) )<BR>\n" );
document.write( "300 = L*0.020276394<BR>\n" );
document.write( "L = 300/0.020276394<BR>\n" );
document.write( "L = 14795.53021114<BR>\n" );
document.write( "L = <font color=red>$14,795.53</font><BR>\n" );
document.write( "Each decimal value is approximate.\r<BR>\n" );
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document.write( "You can use an online calculator such as this to confirm.<BR>\n" );
document.write( "<a  rel=nofollow HREF=\"https://www.omnicalculator.com/finance/auto-loan\">https://www.omnicalculator.com/finance/auto-loan</a><BR>\n" );
document.write( "Type 8 into the interest rate box, 5 into the year box, and 300 into the monthly payment box. <BR>\n" );
document.write( "After entering those inputs, the \"loan amount\" box will go from empty to <font color=red>$14,795.53</font><BR>\n" );
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