1. Suppose Bill purchases a car and he is going to finance $13,900 for 24 months at an APR of 7.2% compounded monthly.

Find the monthly payments on the loan.

2. A family needs to take out a 25-year home mortgage loan of $130,000 through a local bank. Annual interest rates for 25-year mortgages at the bank are 4.8% compounded monthly.

(a) Compute the family's monthly mortgage payment under this loan.

(b) How much interest will the family pay over the life of the loan?

(a) The monthly payment is

(Round the final answer to two decimal places as needed. Round all intermediate values to six decimal places as needed.)

3.Ken just bought a house. He made a $15,000 down payment and financed the balance with a 15-year home mortgage loan with an annual interest rate of 5.1% compounded monthly. His monthly mortgage payment is $938. What was the selling price of the house?

The selling price of the house is