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You want to buy a new sports coupe for $84,500, and the finance office at the dealership has quoted you an APR of 4.7 percent
| You want to buy a new sports coupe for $84,500, and the finance office at the dealership has quoted you an APR of 4.7 percent for a 60-month loan to buy the car. What will your monthly payments be? What is the effective annual rate on this loan? | ||||
| Input area: | ||||
| Cost of car | $84,500 | |||
| APR | 4.70% | |||
| Number of months | 60 | |||
| Compounding periods per year | 12 | |||
| (Use cells A6 to B9 from the given information to complete this question. Your payment should be a positive value.) | ||||
| Output area: | ||||
| Solve Using Excel | ||||
| Payment | ||||
| Effective interest rate | ||||
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Investment Science
Authors: David G. Luenberger
2nd Edition
0199740089, 978-0199740086
