You have just graduated from college and purchased a car for $6000. Your credit limit is $24,000. Assume that you make no payments and purchase nothing more and that there are no other fees. The monthly interest rate is 14%. Use the table feature on your graphing calculator to determine how much you will owe after 3 months ...

a.

$9075.54

c.

$35,557.06

b.

$36,302.15

d.

$8889.26

Question

Kason Daniel

Mathematics

14 September, 18:01

You have just graduated from college and purchased a car for $6000. Your credit limit is $24,000. Assume that you make no payments and purchase nothing more and that there are no other fees. The monthly interest rate is 14%. Use the table feature on your graphing calculator to determine how much you will owe after 3 months ...

a.

$9075.54

c.

$35,557.06

b.

$36,302.15

d.

$8889.26

+4

Answers (1)

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Phillip James · Answer 1

In the problem, a person is purchasing a car and pays for the car after three months with a monthly interest of 14%. In this case, the formula to be followed is F = P * (1+i) ^n where P is 6000, i is 0.14 and n is 3. F then is equivalent to D. $8889.26. The credit limit is irrelevant in this problem.