You decide to take out a car loan for $25,000 at 6% APR for 60 months.What is the outstanding principal of your loan after you make your first payment?
A)$24,875.00
B)$24,516.68
C)$24,641.68
D)$24.734.32
E)$24,975.14

Question

Quizplus · Accepted Answer

Using an amortization calculator, we can determine that the monthly payment on this loan is $483.32. After the first payment, the outstanding principal will be $24,641.68.

You Decide to Take Out a Car Loan for $25,000