$MathMaster logo$

MathMaster

Home
general
new bread bakery purchased new equipment by making a down payment of 2000 and agreeing to make payments of 458 at the end

Question

New Bread Bakery purchased new equipment by making a down payment of $2000 and agreeing to make payments of $458 at the end of each month for five years. Interest is 9.2% compounded monthly. What was the purchase price of the new equipment? How much interest will have to be paid?

205

likes

1024 views

Answer to a math question New Bread Bakery purchased new equipment by making a down payment of $2000 and agreeing to make payments of $458 at the end of each month for five years. Interest is 9.2% compounded monthly. What was the purchase price of the new equipment? How much interest will have to be paid?

$Expert avatar$

4.5

108 Answers

r = \frac{0.092}{12} = 0.0076667

PV = 458 \frac{1 - (1 + 0.0076667)^{-60}}{0.0076667}

PV = 458 \frac{1 - (1.0076667)^{-60}}{0.0076667}

PV \approx 458 \times 47.9646 \approx \$21,960.57

\text{Total Paid} = 458 \times 60 = \$27,480

\text{Interest Paid} = 27,480 - 21,960.57 = \$5,519.43

\text{Total Purchase Price} = 21,960.57 + 2,000 = \$23,960.57

\text{Purchase Price} = \$23,960.57

\text{Total Interest Paid} = \$5,519.43

Frequently asked questions (FAQs)

What is the sum of the vectors (2, -5, 9) and (-3, 7, -4)?

+

What are the components of a unit vector in the direction of the vector v = ?

+

Question: Find the x-intercepts of the graph representing the equation f(x) = 2x^2 - 5x + 3.

+

New questions in Mathematics

Find 2 numbers that the sum of 1/3 of the first plus 1/5 of the second will be equal to 13 and that if you multiply the first by 5 and the second by 7 you get 247 as the sum of the two products with replacement solution

calculate the derivative by the limit definition: f(x) = 6x^3 + 2

The graph of the equation x²= 4py is a parabola with focus F(_,_) and directrix y=_____ Therefore, the graph of x²=12y is a parabola with focus F(_,_) and a directrix y=_____

Elliot opened a savings account and deposited $5000.00 as principal. The account earns 4% interest, compounded annually. How much interest will he earn after 5 years? Round your answer to the nearest cent.

If f(x) = 3x 2, what is the value of x so that f(x) = 11?

Identify a pattern in the list of numbers.Then use this pattern to find the next number. 37,31,25,19,13

4. Show that if n is any integer, then n^2 3n 5 is an odd integer

is the x element (180,270), if tanx-3cotx=2, sinx ?

Convert 78 percent to a decimal

78 percent to a decimal

Find all real numbers x that satisfy the equation \sqrt{x^2-2}=\sqrt{3-x}

form a key for your lock containing the numbers 2 2 5 8 How many different keys can you form?

A property sold for $745,000 in a co-brokered transaction. The seller has agreed to pay a 7% commission to the listing firm. The listing firm has agreed to equally split the commission with the selling firm. If the buyer’s broker will receive 8% of the selling firm’s commission, how much commission will the buyer’s broker receive? $14,900 $3725 $$37250 $18625

Oi👋🏻 Toque em "Criar Nova Tarefa" para enviar seu problema de matemática. Um dos nossos especialistas começará a trabalhar nisso imediatamente!

Evaluate ab+dc if a=56 , b=−34 , c=0.4 , and d=12 . Write in simplest form.

A small box measures 10 in. by 4 in. by 6 in. high. Find the volume of the box.

Suppose a car license plate consists of 2 letters and two digits of which the first cannot be zero. How many different plates can be engraved? consider only 26 letters and 10 digits draw an example of this.