Question

Vehicle: Chevy Volt
Price: $39,145
Current interest rate: 3%
1. Using the function A(t)=P(1+r/n)^(nt), create the function that represents your new car loan that is compounded monthly. The principle will be the price of the vehicle you selected.
2. A(t) = 10,000. Solve for t.
3. Lastly, you decide to keep track of your loan four times a month instead of monthly. Solve for the adjusted interest rate. Remember to use the formula A(t)=P[(1+r/n)^(1/c)]^cnt where c = 4. When solving for the adjusted interest rate, be sure to set it equal to 1+r/n.

Answer 1

I need help with 3. For number 2, t = -45.54. The actual problem goes like this: Being a smart financial planner, you want to figure out how many months it will be until your principal is paid down to $10,000.00. Solve for t and show all of your work. Note that t will be negative because the number of months will decrease the principal.

Answer 2

Search on Prezi

Answer 3

huh? how do I do that?

Answer 4

pls anyone

Answer 5

Set up the given equation with the given
P = 39,145
r = .03 (or 3%)
A(t) = 10000