Answered step by step
Verified Expert Solution
Question
1 Approved Answer
In the following spreadsheet we have already explored cell E2 that is a function of the four inputs in cells A2 :D2. Now we will
In the following spreadsheet we have already explored cell E2 that is a function of the four inputs in cells A2 :D2. Now we will consider the two-way table in B6:H16, where we are holding the principal, P=$15,000, fixed along with the number of months in one year, n=12. The monthly car payment becomes a function of two inputs: APR and term. 1. What are the two specific inputs, APR and term, for the highlighted payment of $456.33 ? 2. What formula is entered in cell C7 that will allow us to fill down and across? Note you may use the number 12 in your formula instead of the cell reference C2 since this is constant for monthly payments. In particular pay attention to what cell references are absolute, relative and mixed. 3. How much total interest is paid with the $289.99 monthly payment? 4. How much would you save in interest if you switched your 5 year 6% loan to 3 years at 6% ? 5. What if you have a horrible credit score you might be forced to take out a 6 year loan at 10%. How much interest do you pay over the life of this loan
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started