Mathematics, 05.10.2021 02:10 arivalen
PLEASE ANSWER HONESTLY AND WITH FULL EXPLANATION
Jade bought a car for $21,400 at an APR of 3.6%, compounded monthly, by agreeing to make monthly payments of $149.00 for 48 months. After 48 months, Jade plans to make a balloon payment. Usually, the monthly payment on a 48-month loan for $21,400 at an APR of 3.6%, compounded monthly, is $479.37. Jade is wondering how much more expensive the balloon payment option is. Let's do some calculations to find out.
Part I: How much will Jade have paid after 48 months with a monthly payment of $149.00?
Part II: What will Jade's balloon payment be?
Part III: How much in total will Jade have paid after making the balloon payment?
Part IV: How much would Jade have paid in total if she had made the usual payment of $479.37 for 48 months?
Part V: How much more expensive was the balloon payment option for Jade than if she had just made the usual payment of $479.37 for 48 months?
Answers: 3
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PLEASE ANSWER HONESTLY AND WITH FULL EXPLANATION
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