Your monthly payment, C(s, t), on a car loan depends on the amount, s, of the loan (in thousands of dollars), and the time, t, required to pay it back (in months). What is the meaning of C(6, 24) = 200?
A)If you borrow $6,000 from the bank for 24 months (2 year loan), your monthly car loan payment is $200.
B)If you borrow $2,000 from the bank for 24 months (6 year loan), your monthly car loan payment is $200.
C)If you borrow $200 from the bank for 24 months (2 year loan), your monthly car loan payment is $6.
D)If you borrow $6 from the bank for 24 months (2 year loan), your monthly car loan payment is $200.

Question

Quizplus · Accepted Answer

The values given for s and t in C(6,24) = 200 match with the first option, which means that if you borrow $6,000 (which is equivalent to 6 in thousands of dollars) from the bank for 24 months (which is equivalent to 2 years), your monthly car loan payment will be $200. Therefore, option A is the correct choice.

Your Monthly Payment, C(s, T), on a Car Loan Depends