Suppose you see a car with an advertised price of $$ \$ 14,100 $$ at $$ \$ 410.83 $$ per month for 4 years. What is the amount of interest paid? (Round your answer to the nearest cent.) $$ \$ $$

Question

UpStudy AI · Accepted Answer

To find the amount of interest paid, first calculate the total amount paid over the term of the loan and then subtract the advertised price (which acts as the principal).

Step 1: Find the total amount paid.
The monthly payment is $410.83, and the term is 4 years. Since there are 12 months per year:

Total amount paid = $410.83 × (4 years × 12 months/year)  
    Total amount paid = $410.83 × 48  
    Total amount paid = $19,719.84

Step 2: Calculate the interest paid.
Subtract the principal (advertised price) from the total amount paid:

Interest paid = Total amount paid − Advertised price  
    Interest paid = $19,719.84 − $14,100  
    Interest paid = $5,619.84

Thus, the amount of interest paid is $5,619.84.
The interest paid is \$5,619.84.

Suppose you see a car with an advertised price of \( \$ 14,100 \) at \( \$ 410.83 \) per month for 4 years. What is the amount of interest paid? (Round your answer to the nearest cent.) \( \$ \)

Upstudy AI Solution

Answer

Solution

Beyond the Answer

Related Questions

Latest Arithmetic Questions