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3 years ago

Please help!! Question is above in the image

Mathematics

1 answer:

klasskru [66]3 years ago

7 0

9514 1404 393

Answer:

$503.85

Step-by-step explanation:

The amortization formula can help with this.

A = P(r/12)/(1 -(1 +r/12)^(-n))

where P is the loan value, A is the monthly payment, r is the annual interest rate, and n is the number of monthly payments.

We want to find P. All of the other values are given.

P = A(1 -(1 +r/12)^-n)/(r/12)

P = 32.48(1 -1.012667^-18)/(0.012667) = 31.48·16.0054

P ≈ 503.85

The equivalent cash price is about $503.85.

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