Someone buys a car for 12,000$ and puts 25% down. They then get a simple interest amortized loan for the rest of the amount at 7% for 4 years. Their month payment is 215.52, and total interest in 1344.96. What are the loan fees for this if the lender states that APR of the loan is 7.2%?

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter19: Lease And Intermediate-term Financing
Section: Chapter Questions
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Someone buys a car for 12,000$ and puts 25% down. They then get a simple interest amortized loan for the rest of the amount at 7% for 4 years. Their month payment is 215.52, and total interest in 1344.96. What are the loan fees for this if the lender states that APR of the loan is 7.2%?

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