Question
In order to save for a vehicle, a high interest savings account is set up and $228 is transferred to the account at the end
In order to save for a vehicle, a high interest savings account is set up and $228 is transferred to the account at the end of every month at 2.49% compounded quarterly. After 5 years, the vehicle is purchased for $25000 and the dealership negotiated continued payments of $228 at the end of each month to pay off the balance (the remainder that wasn't saved up). For how many months must payments be made to pay off the balance of the loan if the dealership can only offer 4.9% interest compounded monthly? Draw a timeline! Use appropriate rounded conventions as discussed in class.
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