Question

Mollie is purchasing a car and needs to finance $24,000 from the bank with an annual percentage rate (apr) of 4.8%. she is financing it over 5 years and making monthly payments. what is the monthly payment?

Answer 1

According to the purchasing a car, the monthly payment, PMT is equal to $450.71.

What is the term monthly payment about?

A monthly payment refers to as a payment that include a money pay by the holder to his lender each month with interest amount.

Solution:

Given Information:

i) Value of Loan, or Present value, PV = 24000

ii) Annual percentage rate , APR = 0.048

iii) number of periods, n = 12

Thus,

Periodic interest, R = APR / n  = 0.048 / 12 = 0.004

Number of years, t = 5

Monthly Payment, PMT = PV*R/1-(1+R)(-1*n*t)=24,000*0.004/1-(1+0.004)-60  = $450.71

Learn more about Monthly payment, refer to the link:

https://brainly.com/question/22891559