Question

Brendon Walsh wants to borrow $40,000 from the bank. The interest rate is 6% and the term is for 5 years. What is the yearly payment amount?
$18,000


$1,800


$6,360


$360

plz HELP I'M BEING TIMED!!!!!!!!!!!

Answer 1

Answer:

$2,400

Step-by-step explanation:

Brendon Walsh wants to borrow the sum of $40,000 from the bank

The interest rate is 6%

The term is 5 years

Therefore the yearly payment amount can be calculated as follows

= 40,000 × 5 × 6/100

= 40,000 × 5 × 0.06

= 12000/5

= $2,400

Hence the yearly payment is $2,400