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Finance prob

Steven can afford car payments of $325 a month for 60 months. The bank will lend him this money at 5.2 percent interest. How much can Steven borrow today?

$12,983.45
$17,138.64
$9,093.27
$23,883.43
$32,394.57

Solution Preview

We use the annual formula to solve this question.

The annuity formula states

Present value = (C/r)[1 - (1+r)^(-n)], where C is the per ...

Solution Summary

Finance prob

$2.19