Question

Every month, Ms. Thomas pays her car loan through automatic payments (withdrawals) from her savings account. She pays the same amount on her car loan each month. At the end of the year, her savings account balance changed by −$2,931 from payments made on her car loan. Describe the total change to Ms. Thomas’ savings account balance after making six monthly payments on her car loan. Model your answer using a number sentence.

Answer 1

Answer: -$1465.5

Ms. Thomas pays the 'same' amount as her car loan each month through car payments.

Total amount payed at the end of the year for car loan = -$2931

Change in Ms. Thomas' savings account each month (with respect to car loan) =

-2931/12 = -$244.25

So, to to calculate the total change to Ms. Thomas's savings account balance after paying for car loan for six months, we will simply multiply one month's amount with 6:

-$244.25 x 6 =  -$1465.5