00:01
Hi, front of question given that here john takes out a loan for dollar 10 ,200.
00:12
So, so here, a is equal to dollar 10 ,200 and at a rate of interest is 6%.
00:23
So, a .r is equal to 6%, which can be written as 0 .06.
00:28
And the rate of interest is compounded monthly.
00:31
Therefore here k is equal to 12 since it is compounded monthly and is making payment of rupees and dollar hundred per month so here the monthly payment p mt is equal to dollar hundred so here we need to calculate the remaining balance after tatum so n is equal to 30 month and the remaining balance can be found by the following formula.
01:09
So here the remaining balance after n month will be equal to a times of 1 plus r by k the power n minus p mt times of 1 plus r by k the power n minus p mt times of 1 plus r by k the old power n minus 1 divided by r by k.
01:46
Now substitute the given value so we have a is 3 ,200 times of 1 plus r is 0 .06 divided by k is 12 the old power n is 30 minus monthly payment is undread times 1 plus 0 .06 divided by 12 the old power 30 minus 1 divided by 0 .06 divided by 12.
02:28
So simplified further we obtained...