1. Go to Sheet2. In cell C7 type a PMT function to calculate the monthly payment for the loan amount in B7 and the rate and number of payments determined by B2 and B3. Notice you are to calculate a monthly payment but B2 and B3 are annual values. Place a minus sign between = and PMT to convert the payment to a positive number. Copy the formula in C7 to C8. Did you properly use absolute and relative references so the formula would copy correctly?

2. In cell D7, multiply the monthly payment for the loan by the number of payments to get the total amount paid. Copy the formula to D8

3. In cell E7, subtract the amount financed from the total amount paid to compute the total interest for the loan. Copy the formula in E7 to E8

1 Loan Payment Example 2 Annual Interest Rate (APR) 3 Term in Years Car Monthly Payment Total Paid Total Interest Amount Financed $ 25,000.00 $ 17,000.00 7 Choice One Choice Two Sheet1 Sheet2