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In: Finance

A recent college graduate buys a new car by borrowing $24,000 at 7.2%, compounded monthly, for...

A recent college graduate buys a new car by borrowing $24,000 at 7.2%, compounded monthly, for 3 years. She decides to pay $764 instead of the monthly payment required by the loan. (a) What is the monthly payment required by the loan? (Round your answer to the nearest cent.)

(a) What is the monthly payment required by the loan? (Round your answer to the nearest cent.)

- How much extra did she pay per month? (Round your answer to the nearest cent.)

(b) How many $764 payments will she make to pay off the loan? (Round your answer up to the next whole number.)

(c) How much will she save by paying $764 per month rather than the required payment? (Round your answer to the nearest cent.)

Solutions

Expert Solution

If for the C part, the answer is not $83.84, then the question might be asking for the answer using the rounded off figures in part a and b, then the answer will be :

=(743.25*36)-(764*35)

=17.00

Calc:

jeff jeffy answered 2 years ago
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