Need help with one thing! Should be quick!

The price of the roadster is $28,822 and the current interest rate is 4%. You will take out a loan to cover the cost of your purchase and will not be making a down payment.

1. Using the function A(t)=P(1+r)^t, create a function that represents your new car loan. The principle, P, will be the price of the vehicle.

Question

Need help with one thing! Should be quick!

The price of the roadster is $28,822 and the current interest rate is 4%. You will take out a loan to cover the cost of your purchase and will not be making a down payment. 


1. Using the function A(t)=P(1+r)^t, create a function that represents your new car loan. The principle, P, will be the price of the vehicle.

jigglypuff314 · Answer

plug in P=28833
and  r= 0.04
into  A(t)=P(1+r)^t

anonymous · Answer

So A(t) = 28822(1+0.04)^t ? Is that really it?

jigglypuff314 · Answer

I think you can simplify the stuff in the parenthesis, but yeah I think that's it :)

anonymous · Answer

So if I take out a 5 year loan, does t = the years of the loan?

jigglypuff314 · Answer

yes :)

anonymous · Answer

Thank you!

jigglypuff314 · Answer

^
Glad I could help! :)