1. Sharon will borrow $3400 at 11% APR. She will pay it back over 18 months. What will her monthly payment be? (Use table)

A) $ 512.42
B) $ 220.06
C) $ 681.50
D) $ 561.00

2. Patrick will borrow $4300 at 11.5% APR. He will pay it bak over 5 years.

What will his monthly payment be? (Use the table) *note Second photo uploaded)

A) $94.56
B) $86.79
C) $123.21
D) $141.81

Question

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pearlielb pearlielb · Answer 1 · 2019-01-29T22:30:34+01:00

Answer:

1. The answer is 220.06

2. Then the monthly payment for $4,300 would be: $4,300/100 x $2.199 =$94.56

Step-by-step explanation:

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tardymanchester tardymanchester · Answer 2 · 2019-02-05T07:16:52+01:00

Answer:

1) The Monthly payment is 220.06.

2) The Monthly payment is 73.24.

Step-by-step explanation:

1) Given : Sharon will borrow $3400 at 11% APR. She will pay it back over 18 months.

To find : What will her monthly payment be?

Solution : Amount is $3400 , APR = 11% , Time= 18 months

From the table 1 we can see at 11% APR and in 18 months the interest per $100 is 16.50 (Marked in attached table 1)

So, The total interest is

[tex]I=16.50\times 34 = 561[/tex]

The Monthly payment is [tex]M= \frac{A+I}{t}[/tex]

[tex]M=\frac{3400+ 561}{18}=220.06[/tex]

Therefore,The Monthly payment is 220.06 Option B is correct.

2) Given : Patrick will borrow $4300 at 11.5% APR. He will pay it bak over 5 years.

To find : What will her monthly payment be?

Solution : Amount is $4300 , APR = 11.5% , Time= 5 years

From the table 2 we can see at 11.5% APR and in 5 years the interest per $100 is 2.199 (Marked in attached table 2)

So, The total interest is

[tex]I=2.199\times 43 =94.557[/tex]

The Monthly payment is [tex]M= \frac{A+I}{t}[/tex]

[tex]M=\frac{4300+94.557}{5\times 12}=73.24[/tex]

Therefore,The Monthly payment is 73.24.