7. The formula A = P(1+3)" can be used to help determine the amount of interest you would save by making a one-time extra payment P toward the principal of the loan. Herer is the APR as a decimal, n = 12, and t is the number of years remaining on the loan. If you take out a 5-year car loan for $12,000 at 2% APR, your monthly payment can be computed to be $210.33. Assuming you don't pay any extra toward the principal of the loan, how much interest will you pay over the life of the loan? (Hint: You pay $210.33 monthly for 5 years. Then subtract the initial loan amount.) a. b. Suppose that after 6 months (0.5 years), you make an extra payment of $800 toward the principal. Use the formula given to you to compute how much interest you will save. (Hint: After using the formula, you need to subtract the amount of the extra payment.)