Question

To purchase $13,400 worth of lab equipment for his business, Rafael made a down payment of $1900 and took out a business loan for the rest. After 2 years of
paying monthly payments of $509.70, he finally paid off the loan.
x
5
?
(a) What was the total amount Rafael ended up paying for the equipment
(including the down payment and monthly payments)?
si
(b) How much interest did Rafael pay on the loan?
si

Answer 1

9514 1404 393

Answer:

• total paid: $14,132.80
• interest paid: $732.80

Step-by-step explanation:

(a) The total that Rafael paid was ...

  $1900 +24(509.70) = $14,132.80 . . . total paid

__

(b) The interest is the difference between what Rafael paid and the cost of the equipment.

  interest = $14,132.80 -13,400 = $732.80 . . . interest paid