At a recent boat show, Nautica Bank was offering add-on interest installment boat loans for up to 5 years with an APR of 16.5%. On new boats, a 20% down payment was required. Scott Vaughn wanted to finance a $85,000 boat for 5 years. (a)What would be the finance charge on the loan (in $)? $ _____ (b)What would be the monthly payment (in $)? (Round your answer to the nearest cent.)

At a recent boat show, Nautica Bank was offering add-on interest installment boat loans for up to 5 years with an APR of 16.5%. On new boats, a 20% down payment was required. Scott Vaughn wanted to finance a $85,000 boat for 5 years. (a)What would be the finance charge on the loan (in $)? $ _____ (b)What would be the monthly payment (in $)? (Round your answer to the nearest cent.)

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter19: Lease And Intermediate-term Financing

Section: Chapter Questions

Problem 17P

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