Question

Rounding in the calculation of monthly interest rates is discouraged. Such rounding can lead to answers different from those presented here. For long-term loans, the differences may be pronounced.

You can get a car loan with a term of three years at an APR of 3%. If you can afford a monthly payment of $300, how much can you borrow? (Round your answer to the nearest cent.)

Answer 1

A B C D 1 INTEREST! 2 RATE 0.0025 MONTLY 3 =3%/12 EMI 5 PERIOD 36 MONTHS 6 PV $10,315.94 if emi is paid at the end of the month =PV(B2,36,-300,,0) 300 pv $10,341.73 if emi is paid in the starting of the month =PV(B2,36,-300,,1)