To purchase his new car, Scooby-Doo has obtained a six-year loan for $40,000 at 8.8% compounded semi-annually.

a. Determine the monthly payments required on the loan.

b. Calculate the balance owing and the total interest paid after three years of making payments toward the loan.1-487

c. Instead of (b), Scooby-Doo is considering reducing the balance owing to $15,000 after three years and paying off the loan in full at that time. What monthly payments are required?