interest rates is discouraged. Such rounding can lead to answers different from those presented here. For long-term loans, the differences may be Round your answer to the nearest cent. Assume that you take out a $3000 loan for 30 months at 8.5% APR How much of the first month's payment is interest? Notes Ask Your A friend claims to have found a realy great deal at a local loan agency without a street address: The agency claims that its rates are so low you can borrow $40,000 with a term of three years for a monthly payment of $1,100. Is this too good to be true? Be sure to explain your ans No, the deal is not too good to be true. Using the Monthly Payments for Long-Term Loans Rule of Thumb, the payments can be no more than $1,111.11. O Type here to search 9