You have just taken out a $16,000 car loan with a 8% APR, compounded monthly. The loan is for five years. When you make your first payment in one month, how much of the payment will go toward the principal of the loan and how much will go toward interest? (Note: Be careful not to round any intermediate steps less than six decimal places.) When you make your first payment, $____ will go toward the principal of the loan and $______ will go toward the interest. (Round to the nearest cent.)
You have just taken out a $16,000 car loan with a 8% APR, compounded monthly. The loan is for five years. When you make your first payment in one month, how much of the payment will go toward the principal of the loan and how much will go toward interest? (Note: Be careful not to round any intermediate steps less than six decimal places.) When you make your first payment, $____ will go toward the principal of the loan and $______ will go toward the interest. (Round to the nearest cent.)
Chapter4: Time Value Of Money
Section4.17: Amortized Loans
Problem 1ST
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You have just taken out a $16,000 car loan with a 8% APR, compounded monthly. The loan is for five years. When you make your first payment in one month, how much of the payment will go toward the principal of the loan and how much will go toward interest? (Note: Be careful not to round any intermediate steps less than six decimal places.) When you make your first payment, $____ will go toward the principal of the loan and $______ will go toward the interest. (Round to the nearest cent.)
Transcribed Image Text:You have just taken out a $16,000 car loan with a 8% APR, compounded monthly. The loan is for five years. When you make your first payment in one month, how
much of the payment will go toward the principal of the loan and how much will go toward interest? (Note: Be careful not to round any intermediate steps less than
six decimal places.)
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When you make your first payment, $
will go toward the principal of the loan and $
will go toward the interest. (Round to the nearest cent.)
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