SOLUTION: A. Find monthly payment for an automobile with suggested retail price of 19000, financed at the rate of 7.9%. B. If the car dealership require 5% down payment, find the monthly pay

Algebra ->  Finance -> SOLUTION: A. Find monthly payment for an automobile with suggested retail price of 19000, financed at the rate of 7.9%. B. If the car dealership require 5% down payment, find the monthly pay      Log On


   

Question 932922: A. Find monthly payment for an automobile with suggested retail price of 19000, financed at the rate of 7.9%. B. If the car dealership require 5% down payment, find the monthly payment for the amount financed.
Answer by ewatrrr(24785) About Me  (Show Source):
You can put this solution on YOUR website!
M = P [ i(1 + i)^n ] / [ (1 + i)^n - 1]
P = 18,050, I = .079 per year, i(per month) = .079/12 = .00658
Need to know the 'n' the number of payments
M = 18050+%28.00658%281.00658%29%5En+%29+%2F+%28+%281.00658%29%5En+-+1%29
.........
For Ex: 5 years, n = 60 months
M = $365.13
........
re TY
$336000 at the finance rate of 4.9%. The Bank requires a down payment of 8%
P then is .92%2A336000 = 309,120
i = .049/12 = .004
NEED TO KNOW 'n' the number of payments. (12*years of the mortgage)
M = 309120%28.004%281.004%29%5En+%29+%2F+%28+%281.004%29%5En+-+1%29
for ex : 30years (n = 360 payments)
M = $2268.21