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WILL GIVE 5 STAR IF CORRECT: Chasity purchased a pool for $9,270 using a six-month deferred payment plan with an interest rate of 17.95%. Sh
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WILL GIVE 5 STAR IF CORRECT: Chasity purchased a pool for $9,270 using a six-month deferred payment plan with an interest rate of 17.95%. She did not make any payments during the deferment period. What will Chasity’s monthly payment be if she must pay off the pool within four years after the deferment period? (4 points)
$297.41
$193.13
$560.59
$211.12
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Mathematics
4 years
2021-08-09T19:47:51+00:00
2021-08-09T19:47:51+00:00 1 Answers
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Answers ( )
Answer:
$297.41
Step-by-step explanation:
Given that:
Amount = 9270
Derferred period = 6 months = 0.5 yr
Rate = 17.95% = 0.1795
Amount = 9270(1 + 0.1795)^0.5
Amount = 9270(1.1795)^0.5
Amount = 10067.663
PV = 10067.663
Number of months, n = 48
Monthly amount to be paid :
rp = rate per period = 0.1795/12 = 0.0149583
(rp * PV) / 1 – (1 + rp)^-n
(0.0149583 * 10067.663) / 1 – (1 + 0.0149583)^-48
150.5951234529 / 0.5096723
= 295.47441
Closest option is $297.41