Solve the problem. Use an annual percentage rate table if necessary.
-A retired couple buys a new recreational vehicle (RV)for $42,000. They make a down payment of $13,000 and finance the balance at 9.0% APR over 60 months. Before making the 30th payment, the
Couple decides to pay the remaining balance on the loan. How much interest will the couple save
(use the actuarial method)?

Question

Quizplus · Accepted Answer

The Answer of Solve the problem. Use an annual percentage rate table if necessary.
-A retired couple buys a new recreational vehicle (RV)for $42,000. They make a down payment of $13,000 and finance the balance at 9.0% APR over 60 months. Before making the 30th payment, the
Couple decides to pay the remaining balance on the loan. How much interest will the couple save
(use the actuarial method)?

Solve the Problem