Help please!
For an amortized loan, you are given the loan, annual interest rate, and length of the loan. Find the monthly payment necessary to pay off the loan. Do not round until the final answer. Then, round to the nearest cent.

amount: $9,000; rate: 9.6%; time: 3 years

Question

Help please!
For an amortized loan, you are given the loan, annual interest rate, and length of the loan. Find the monthly payment necessary to pay off the loan. Do not round until the final answer. Then, round to the nearest cent.

amount: $9,000; rate: 9.6%; time: 3 years

anonymous · Answer

@Nurali then what do i do?

anonymous · Answer

these are my options A
$286.13

B
$298.74

C
$285.49

D
$288.72

anonymous · Answer

to be honest, i don't know the exact way to solve this. but i bet i can get you the right answer though.

so the amount you are loaning is 9000 and you have to pay a certain amount over 3 years

so you have to pay $3000 a year, and 288 each month.

BUT... when you pay off a loan, you ALWAYS pay more then you borrow, right? and 72 cents extra isn't enough..

so i would say that the answer is $298.74, because you are paying more than you would just to pay off the original $9000

i'm sorry i can show you how to do it properly, but $298.74 is the only logical answer to me

anonymous · Answer

okay thanks. Yeah I am getting confused because comparing my answers with other problems my calc is getting completely different answers