Lush Gardens bought a new truck for $85,000. It paid $10,000 as a down payment and financed the balance at 4.00% compounded monthly. If the company makes payments of $1,575 at the end of every month, how long will it take to pay off the loan? year(s)+ month(s) Round up to the next payment period. Give your answer in years and months.

Lush Gardens bought a new truck for $85,000. It paid $10,000 as a down payment and financed the balance at 4.00% compounded monthly. If the company makes payments of $1,575 at the end of every month, how long will it take to pay off the loan? year(s)+ month(s) Round up to the next payment period. Give your answer in years and months.

Fundamentals of Financial Management (MindTap Course List)

15th Edition

ISBN:9781337395250

Author:Eugene F. Brigham, Joel F. Houston

Publisher:Eugene F. Brigham, Joel F. Houston

Chapter12: Cash Flow Estimation And Risk Analysis

Section: Chapter Questions

Problem 5P: EQUIVALENT ANNUAL ANNUITY Faleye Consulting is deciding which of two computer systems to purchase....

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