You have decided to buy a new Ford Mustang. The price of the vehicle is $26,400. You have saved up $4,000 to apply towards the down payment and will take out an amortized loan for the rest. The car dealership offers you a 5-year loan at 2.9% interest. You will pay back the principal and interest in equal monthly installments beginning one month from now.

a. Determine the amount of your monthly payment.

b. How much interest will you have paid over the 5-year period?