Quiz Section 71 73 Quiz This Question 2 pts 8011410 complete

Quiz: Section 7.1 7.3 Quiz This Question: 2 pts 8011410 complete) Use the add-on method of calculating interest to find the total interest and the monthly payment of a $800 loan for 21 months at 7 1% The total interest is Type an integer or decimal rounded to the nearest cent as needed) The monthly payment is S (Type an integer or decimal rounded to the nearest cent as needed) ath Enter your answer in each of the answer boxes

Solution

P = 800
t = 21 mths = 21/12 = 1.75 yrs
r = 7.1% or 0.071

I = Prt

I = 800 * 0.071 * 1.75

I = 99.4 ----> FIRST ANSWER

Mthly payment is :
(800 + 99.4) / 21

42.83 ----> SECOND ANSWER