To purchase $12500.00 worth of machinery for his business, Alan made a down payment of$1300.00 and took out a business loan for the rest. After 2 years of paying monthly payments of$496.40 , he finally paid off the loan. (a) What was the total amount Alan ended up paying for the machinery (including the down payment and monthly payments)?________ (b) How much interest did Alan pay on the loan?______
Added by Brandy Y.
Step 1
We can do this by subtracting the down payment from the total cost of the machinery: $12500 - $1300 = $11200 Now, we know that Alan made monthly payments of $496.40 for 2 years. Show more…
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