Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Overnight Trucking recently purchased a new truck costing $150,800. The firm financed this purchase at 8.6 percent interest with monthly payments of $2,100. How many
Overnight Trucking recently purchased a new truck costing $150,800. The firm financed this purchase at 8.6 percent interest with monthly payments of $2,100. How many years will it take the firm to pay off this debt? A. 7.04 years B. 7.22 years C. 8.10 years D. 8.23 years E. 8.44 years
I want to use my financial calculator to solve this, but for some reason I am not getting the right answer.
I did 8.6%/12 = .00717= I/y
PV= -150800
PMT=2100
Fv=0
I get N= 71.997
I think I'm messing up on the rate. How do I do this in the financial calculator correctly?
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