Question

Please Help Me!

Find the simple interest Jolie owes on a 2-year loan for $9,500 to buy a used car at the rate of 9% interest.

This is a TWO part question, make sure to answer both part A. and B.


A. Find the amount of interest. Show the math computation use to find the amount of interest.


B. What was the monthly payment? Show the work used to find this answer.

Answer 1

$9500/100*9=$855 first year
So, two years are $1710 of interest.
$9500+$1710=$11,210
$11,210/24=$467.08 monthly payment

Answer 2

a. 1710 b. 71.25

Explanation:

the formula for simple interest is i=prt

2(9500)(0.09)= 1710

to find the monthly payment, divide by the number of months.

1710/24=71.25