To purchase \( \$ 14,100 \) worth of restaurant equipment for his business, Reuben made a down payment of \( \$ 1700 \) and took out a business loan for the rest. After 3 years of paying monthly payments of \( \$ 377.24 \), he finally paid off the loan. (a) What was the total amount Reuben ended up paying for the equipment (including the down payment and monthly payments)? (b) How much interest did Reuben pay on the loan?

Reuben's restaurant equipment cost was $14,100. He made a down payment of $1,700 and financed the remaining amount with a loan. Step 1. Calculate the initial loan amount:   Loan Amount = Equipment Cost − Down Payment         = $14,100 − $1,700         = $12,400 Step 2. Determine the total amount paid on the loan:   Reuben made monthly payments of $377.24 for 3 years. Since there are 12 months in a year:   Total Number of Payments = 3 × 12 = 36   Total Loan Payment = 36 × $377.24 = $13,580.64 Step 3. Calculate the total amount paid for the equipment (including the down payment and the monthly payments):   Total Amount Paid = Down Payment + Total Loan Payment         = $1,700 + $13,580.64         = $15,280.64 Step 4. Compute the total interest paid on the loan:   Interest Paid = Total Loan Payment − Loan Amount         = $13,580.64 − $12,400         = $1,180.64 Answers: (a) Reuben paid a total of $15,280.64 for the equipment. (b) The interest paid on the loan was $1,180.64.