Directions:

1. Solve the following problems. Hand write the solutions and explanations.

2. Show your work AND explain your reasoning using complete English sentences. Explanations must directly follow the solution for each part of the problem.

Problem:

Raul and Josephine buy a plasma TV from Sparky's Electronics on an installment plan (simple interest add on loan). They will pay the TV off in 3 years, paying 19.25% interest.

a. If the TV costs $1299.00, what will their monthly payments be?

b. If they make an $800 down payment up front, what will their payments be?

Please help with breaking down this question.