N LTE 3296H 4:52 PM MAT-130-T5103-17EW5 April Jackson | 6/28/17 4:52 PM Test: 8-3 MyMathLab Exam: Chapter F Submit Test his Question: 1 pt 14 of 15 (0 complete) | This Test: 15 pts possible Question Help E-Loan, an online lending service, recently offered 60-month auto loans at 4.5% compounded monthly to applicants with good credit ratings. If you have a good credit rating and can afford monthly payments of $537, how much can you borrow from E-Loan? What is the total interest you will pay for this loan? You can borrow SLI. (Round to two decimal places.) You will pay a total of $11 in interest. (Round to two decimal places.) ll pay a total of S in interest. (Round nter your answer in each of the answer boxes.
Total amount paid = 60(537) = $32220
Using A = P(1 + r/n)^(nt):
32220 = P(1 + 0.045/12)^(12)(5)
32220 = P(1.25180)
32220/1.25180 = P
P = 25738.94
subtract:
32220 - 25738.94 = $6481.06 interest
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