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Calculus: An Applied Approach (Min...

10th Edition
Ron Larson
ISBN: 9781305860919

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Calculus: An Applied Approach (Min...

10th Edition
Ron Larson
ISBN: 9781305860919
Textbook Problem
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Find the monthly payment for a boat loan of $29,000 taken out for 6 years at an annual interest rate of 5.5%. How much is the total amount paid?

To determine

To calculate: The total amount paid for a boat loan of $29000 taken out for 6 years at an annual interest rate of 5.5%.

Explanation

Given Information:

The total loan amount is $29000 for the time 6 years and the interest rate is 5.5%

Formula used:

The monthly instalment formula defined as below,

M=Pr11(1+r)n

Where, M is monthly instalment, P is principle, t is total time, r is rate of interest.

Calculation:

Consider the provided information,

Here, for rate is monthly So, r=0.05512

Apply the formula,

M=Pr11(1+r)n=29000(0

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