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You have just purchased a car and taken out a $ 3 7 , 0 0 0 loan. The loan has a five - year
You have just purchased a car and taken out a $ loan. The loan has a fiveyear term with monthly payments and an APR of
a How much will you pay in interest, and how much will you pay in principal, during the first month, second month, and first year? Hint: Compute the loan balance after one month, two months, and one year.
b How much will you pay in interest, and how much will you pay in principal, during the fourth year ie between three and four years from now
Note: Be careful not to round any intermediate steps less than six decimal places.
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