How do you find the r?

Mathematics

1 answer:

astra-53 [7]3 years ago

5 0

It's a right triangle. Use the pythagorean theorem. 36^2+r^2=(r+12)^2. r=48.

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Mila [183]

This question can be approached using the present value of annuity formula. The present value of annuity is given by $PV=P\left( \frac{1-\left(1+ \frac{r}{t} \right)^{-nt}}{ \frac{r}{t} } \right)$ , where: PV is the present value/amount of the loan, P is the periodic (monthly in this case) payment, r is the APR, t is the number of payments in one year and n is the number of years.

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</span> $2500=P\left( \frac{1-\left(1+ \frac{0.135}{12} \right)^{-2\times12}}{ \frac{0.135}{12} } \right) \\ \\ =P\left( \frac{1-\left(1+ 0.01125 \right)^{-24}}{ 0.01125 } \right)=P\left( \frac{1-\left(1.01125 \right)^{-24}}{ 0.01125 } \right) \\ \\ =P\left( \frac{1-0.764531}{ 0.01125 } \right)=P\left( \frac{0.235469}{ 0.01125 } \right)=20.9306P \\ \\ \Rightarrow P= \frac{2500}{20.9306} =119.44$
<span>
Therefore, his monthly payment is $119.44</span>

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