An example is a car purchase where you might pay $3,500 down and borrow $31,000 towards a $34,500 car. If the annual interest rate is 5.45%, you will be making 60 monthly payments and if these payments completely pay off the loan so that no money is due at the end of these payments, what would be the amount of your monthly payment? Assume that the payment is made at the end of each month. Include the equation you used to calculate your answer.

Use the =PMT Excel function to solve this problem.