Fast Eddie's Used Cars will sell you a 2000 Ford Taurus for $3,000 with no money down. You agree to make weekly payments for two years, beginning one week after you buy the car. The stated rate on the loan is 26%. How much is each payment?

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To find the weekly payment for a loan, you can use the formula for the payment on an annuity: $PMT = \frac{PV \times i}{1 - (1 + i)^{-n}}$, where PMT is the payment, PV is the present value (or loan amount), i is the interest rate per period, and n is the total number of payments.Given:- Loan amount (PV) = $3,000- Annual interest rate = 26%- Payments are weekly, so there are 52 weeks/year. Thus, the weekly interest rate $i = \frac{26\%}{52} = 0.5\%$- The loan term is 2 years, so the total number of payments $n = 2 \times 52 = 104$ weeks.Plugging these values into the formula:$PMT = \frac{3000 \times 0.005}{1 - (1 + 0.005)^{-104}}$$PMT \approx $37.06$Therefore, the weekly payment is approximately $37.06.

Fast Eddie's Used Cars Will Sell You a 2000 Ford