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22 August, 02:08

Chico is financing a car for $9,550 and an apr 8.9 percent for 3 years. what is his monthly payment if the monthly payment per $100 is $3.52?

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  1. 22 August, 02:10
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    Given:

    Principal loan: 9,550

    APR 8.9 Percent

    Term: 3 years.

    Monthly payment per 100 is 3.52.

    8.9% / 100 = 0.089

    (0.089 / 360) * 30 = 0.0074

    0.0074 x 100% = 0.74% per month

    3 years x 12 month/yr = 36 months

    9,550 x 0.74% x 36 months = 2,544.12 interest

    9,550 + 2,544.12 = 12,094.12 total cost of loan.

    12,094.12 / 100 = 120.9412

    120.9412 x 3.52 = 425.71 monthly payment
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