Lucky Louie wants to buy a car that costs $29,000. The interest rate on his loan...

Question

Question

Answer 1

Answer #1

PV = 29000
Rate = 5.51% / 12
Nper = 5 * 12 = 60
FV = 0

Monthly payment can be calculated by using the following excel formula:
=PMT(rate,nper,pv,fv)
=PMT(5.51%/12,60,-29000,0)
= $554.07

Monthly payment = 554.07

Answer 2

Similar Homework Help Questions

Gerritt wants to buy a car that costs $25,750. The interest rate on his loan is...

Gerritt wants to buy a car that costs $25,750. The interest rate on his loan is 5.25 percent compounded monthly and the loan is for 6 years. What are his monthly payments? Multiple Choice Ο $415.88 Ο $438.58 Ο $426.15 Ο $417.69 Ο $403.77
Gerritt wants to buy a car that costs $27,000. The interest rate on his loan is...

Gerritt wants to buy a car that costs $27,000. The interest rate on his loan is 5.35 percent compounded monthly and the loan is for 5 years. What are his monthly payments?
Gerritt wants to buy a car that costs $28,000. The interest rate on his loan is...

Gerritt wants to buy a car that costs $28,000. The interest rate on his loan is 5.43 percent compounded monthly and the loan is for 7 years. What are his monthly payments?

• 1) A new car is purchased and a $20,000 loan is taken. The loan is...

• 1) A new car is purchased and a $20,000 loan is taken. The loan is for 5 years (60 months) and the interest rate is 7.9% compounded monthly. What is the monthly payment? • 2)A new car is purchased and a $20,000 loan is taken. The loan is for 5 years (60 months) and the interest rate is 7.9% compounded monthly. What is the balance after 3 years? . 3) A new car is purchased and a $30,000 loan...
A man buys a car for $39,000. If the interest rate on the loan is 12%,...

A man buys a car for $39,000. If the interest rate on the loan is 12%, compounded monthly, and if he wants to make monthly payments of $900 for 48 months, how much must he put down? (Round your answer to the nearest cent.) 8720.83 A man buys a car for $39,000. If the interest rate on the loan is 12%, compounded monthly, and if he wants to make monthly payments of $900 for 48 months, how much must he...
A commercial bank will loan you $47,497 for 8 years to buy a car. The loan...

A commercial bank will loan you $47,497 for 8 years to buy a car. The loan must be repaid in equal monthly payments at the end of the month. The annual interest rate on the loan is 10.16 percent of the unpaid balance. What is the amount of the monthly payments?

Jose ust borrowed $3.500 to buy a used car payments. (End of Peniod) His loan is...

Jose ust borrowed $3.500 to buy a used car payments. (End of Peniod) His loan is for 4 years with monthly payments The interest rate on the loan is 8% APR Calculate his monthly loan OA. S99 2 O B. S8545 O C. $72 92 O D. $84.88
You are borrowing $5,340 to buy a car. The terms of the loan call for monthly...

You are borrowing $5,340 to buy a car. The terms of the loan call for monthly payments for 4 years at a 5.50 percent interest compounded monthly. What is the amount of each payment? $99.16 $99.71 $125.64 O $127.82 O $124.19
You are borrowing $5,390 to buy a car. The terms of the loan call for monthly...

You are borrowing $5,390 to buy a car. The terms of the loan call for monthly payments for 4 years at a 4.50 percent interest compounded monthly. What is the amount of each payment? O $102.70 O $129.40 $102.15 O $122.91 O $131.67

A commercial bank will loan you $27,817 for 3 years to buy a car. The loan...

A commercial bank will loan you $27,817 for 3 years to buy a car. The loan must be repaid in equal monthly payments at the end of the month. The annual interest rate on the loan is 13.32 percent of the unpaid balance. What is the amount of the monthly payments? Round the answer to two decimal places.