Example 1:
seema plans to buy a used car. she can afford monthly car loan payments of $300. the car
dealer offers seema a loan at 6.9% per year compounded monthly, for 3 years. the first
payment will be made 1 month from the date she buys the car.
a) how much can seema afford to borrow?
b) how much interest will seema pay on the loan?
