On January 1, year 1, the company borrows $65,000 to purchase a new vehicle by agreeing to a 4.0%, 6-year loan with the bank. Payments are due at the end of each month with the first installment (vehicle payment) due on January 31, year 1. After completing the problem, ROUND YOUR ANSWERS TO THE NEAREST DOLLAR. IMPORTANT!!!! when inputting the monthly interest rate DO NOT ROUND IT.

.20. Determine the monthly vehicle payment (installment) $_________

21. Determine the interest expense for the first car payment (installment) $_________

22. How much will the payment decrease the amount owed (principal)? $___________

23. After the first vehicle payment is made the amount owed on the vehicle would be: $____________