Use an annual percentage rate table to solve the problem.
-A carpenter spent $6500 to purchase a table saw , a circular saw, and a panel saw. He paid 20% Down and financed the balance with a 30-month fixed installment loan with an APR of 5.0%. Determine the total finance charge and monthly payment for the loan.
A) Total finance charge = $1062.36; Monthly payment = $208.75
B) Total finance charge = $377.52; Monthly payment = $185.92
C) Total finance charge = $342.68; Monthly payment = $184.76
D) Total finance charge = $1147.90; Monthly payment = $254.93
Correct Answer:
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