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3 years ago

PLEASE HELPPP!! I need help with both questions

Mathematics

1 answer:

navik [9.2K]3 years ago

3 0

9514 1404 393

Answer:

borrow: $21,056.60
interest: $1,983.40

Step-by-step explanation:

The relation between the monthly payment (A) and the principal borrowed (P) is ...

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

where the annual interest rate is r and n is the number of monthly payments.

Then the principal P can be found as ...

P = $384(12/0.036)(1 -(1 +0.036/12)^-60) ≈ $21,056.60 . . . loan amount

The sum of payments is ...

$384 × 60 = $23,040.

The difference between the payments made and the loan principal amount is the interest paid:

$23,040.00 -21,056.60 = $1,983.40 . . . total interest

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