Friday
December 19, 2014

Homework Help: Algebra

Posted by Shelly on Thursday, July 30, 2009 at 1:34pm.

I am trying to work through this problem and am having trouble. Can someone tell me what the "w" stands for in the equation and walk me through the steps? Below is what I have so far.

Suppose A is the amount borrowed, r is the interest rate (in decimal form), and m is the total number of monthly payments.

Let w = (r)/(12)

Then the formula to determine the monthly payment amount for a loan is given by

monthly payment = Aw/1- (1)/(1+w)^m

Suppose Alice buys a car and obtains a 5 year loan for $25,000 at an interest rate of 6%.


(a) What is the numerical value of w?

Still trying to figure out what w is. I think it is $483.32 the monthly payment??


(b) What is the monthly payment? (Show values substituted in the formula, and calculate the numerical amount.) Note: Since the loan is an amount in dollars and cents, its important to maintain a high degree of precision in intermediate calculations, and round to the nearest cent at the end.

Loan amount P = 25,000
Interest Rate = r = 0.005 per month 6% interest annually
Number of Payments: 60
Payment amount, A = $483.32

483.32 (60) = $28,999.20 Total paid all together ????

28,999.20 25,000 = $3,999.20 interest paid.


Can someone show me how to solve this using algebra? Thanks!

Answer this Question

First Name:
School Subject:
Answer:

Related Questions

Algebra 1 - I'm having trouble solving x=2(x-1)+6 I understand but I get ...
Algebra - I am trying to work through this problem and am having trouble. Can ...
Algebra - I have to work out this equation for my college paper and I am having ...
Math : Algebra - I have a whole page of questions I'm trying to complete that ...
Maths - I am trying to work through the following equations and can't remember ...
algebra - which polynomial has a graph that passes through the given points? (-3...
Math - Can someone please walk me through this? i dont want the answer.............
science and medicine - I am having some trouble working this out . Could you ...
Algebra - I am having trouble with the following problem can someone please help...
Chemistry - Molecular orbital Config - I'm having trouble with this problem on ...

Search
Members