Angela is able to pay $230 a month for 6 years on a car loan. If the interest rate is 7.9%, how much can she afford to borrow to buy a car?

Question

Quizplus · Accepted Answer

The correct answer is A because $13,154.54 is the amount that Angela can afford to borrow to buy a car. This is calculated using the formula A = P * (r * (1 + r)^n) / ((1 + r)^n - 1), where A is the amount that Angela can afford to borrow, P is the monthly payment, r is the interest rate, and n is the number of months.

Angela Is Able to Pay $230 a Month for 6