Joe wants to buy a new boat. He finds one for $5,700 which he will pay with monthly

payments of $178.62 for 3 years. Use table 7-1 to find the APR for the loan.

Table 7-1 APR Table

Numbers

of

payments

9

12

18

24

30

36

48

60

4.00%

1.17

2.18

3.2

4.22

5.25

6.29

8.38

10.5

4.50%

1.32

2.45

3.6

4.75

5.92

7.09

9.46

11.36

5.00%

1.46

2.73

4

5.29

6.59

Annual Percentage Rate

6.50%

Finance charge per $100 of amount Sinanced

1.76

1.9

2.05 2.2

2.35

3.28

3.56

3.83

4.11

4.39

4.82

5.22

5.63

6.04 6.45

5.83 6.37

7.45

6.91

8

8.61

7.94

9.3

9.98

9.52

10.34

11.16

11.98

13.83 14.94

17.4

18.81

5.50%

1.61

3

4.41

7.26

1.9

8.71

10.54

11.63

13.23 14,61

6.00%

12.73

16

7.00%

7.50% 8.00% 8.50% 9.00% 9.50%

2.49

4.66

6.86

9.09

8.54

10.66

11.35

12.81 13.64

17.18

18.31

20.23 21.66

16.06

23.1

2.64 2.79 2.93

4.94 5.22

7.28 7.69

9.64

10.19

12.04 12.74

14.48

19.45

24.55

10.00%

15.32

20.59

26.01

5.5

8.1

10.75

13.43

16.16

21.74

27.4