In a General Annuity the interest period does not match the payment period.

That means that each question requires a two-step solution

Step 1 - find the equivalent interest rate to match the payment period. Do not round this interest rate

Step 2 - use the appropriate formula, Sn or An.

If you do not recognize the general annuity and skip Step 1, you will score 0% on Test 4.

Vicky bought a car priced at

$10,155

for

14%

down and equal

monthly

payments for

4

years. If interest is

11%

compounded

annually,

what is the size of the

monthly

payment?

Question content area bottom

Part 1

The size of the

monthly

payment is

$enter your response here.

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