Molly’s monthly payment by using the Bankrate calculator is $286 per month.
It is given that
The downpayment Molly has = $2500.
Interest rate APR = 1.9%
Cash allowance by dealer = $500
Selling price = $25,495
Loan tenure N= 7 years
Amount of loan needed = 25495-2500-500 = $22495
<h3>What is Equated monthly payment(EMI)?</h3>
An equated monthly installment (EMI) is a set monthly payment provided by a borrower to a creditor on a set day, each month.
The EMI or monthly payment will be calculated by the following formula,
![EMI = \frac{P.\frac{APR}{12} .(1+\frac{APR}{12})^N }{(1+\frac{APR}{12})^N-1 }](https://tex.z-dn.net/?f=EMI%20%3D%20%5Cfrac%7BP.%5Cfrac%7BAPR%7D%7B12%7D%20.%281%2B%5Cfrac%7BAPR%7D%7B12%7D%29%5EN%20%7D%7B%281%2B%5Cfrac%7BAPR%7D%7B12%7D%29%5EN-1%20%7D)
Put APR =0.019(decimal value of APR)
N = 7
EMI = $286 per month.
Therefore, Molly’s monthly payment by using the Bankrate calculator is $286 per month.
To get more about EMI visit:
brainly.com/question/25658911