Problem:
Moulton Motors is advertising the following deal on a used Honda Accord: "Monthly payments of $244.05 for the next 42 months and this beauty can be yours!" The sticker price of the car is $8,200.
Required:
Question: If you bought the car, what interest rate would you be paying in APR terms? What is the interest expense for this loan in month 1?
Note: Please provide through step by step calculations.