Question

What is the monthly payment of a financed amount of $9,750 with an APR of 8.9 percent? The term is for 3 years and the monthly payment per $100 is $3.52.
A. $2,605.20
b.$348.29
c.$12,355.20
d. $241.00

Answer 1

ideally, you can work a recurrsion into the explicit result of:\[B_n=B_o(k)^n-P\frac{1-k^n}{1-k}~:~k=1+\frac{r}{m}~:~n=m*years\]

Answer 2

sposing that the final payment is to zero out the balance ...
\[0=B_o(k)^{36}-P\frac{1-k^{36}}{1-k}\]
\[B_o(k)^{36}=P\frac{1-k^{36}}{1-k}\]
\[B_o(k)^{36}\frac{1-k}{1-k^{36}}=P\]
\[9750(1+\frac{.089}{12})^{36}\frac{1-(1+\frac{.089}{12})}{1-(1+\frac{.089}{12}) ^{36}}=P\]

Answer 3

ideally of course, but then i dont know the method they expect you to employ on this. with any luck its close to 310