Stereo Inc. sells a stereo system for $100 down and monthly payments of $30 for the next 5 years. If the interest rate is 3.25% per month, find: a) The cost of the stereo. Answer = $ b) The total amount of interest paid. Answer = $

Stereo Inc. sells a stereo system for $100 down and monthly payments of $30 for the next 5 years. If the interest rate is 3.25% per month, find: a) The cost of the stereo. Answer = $ b) The total amount of interest paid. Answer = $

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Calculating the Return On A Loan

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son.6

Stereo Inc. sells a stereo system for $100 down and
monthly payments of $30 for the next 5 years. If the
interest rate is 3.25% per month, find:
a) The cost of the stereo.
Answer = $
b) The total amount of interest paid.
Answer = $

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