What is the amount of the monthly payments


A commercial bank will loan you $7,500 for two years to buy a car. The loan must be repaid in 24 equal monthly payments. The annual interest rate on the loan is 12% of the unpaid balance. What is the amount of the monthly payments?

a. $282.43

b. $390.52

c. $369.82

d. $353.05

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Finance Basics: What is the amount of the monthly payments
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