I am doing a math project and I need to know if this is right.
I'm taking out a 5 year loan.
interest rate is 7%
my car cost $78,200
equation: I = P x R x T
Interest = Principal x Rate x Time
$78,200 ( cost of car) x 0.07 ( interest rate) x 5 (5 yr. loan) = $27,370
$78,200 ( cost of car) + $27,370 ( interest rate) = $105,570
total cost = $105,570 ( including interest rate)
can you tell me if I did this right?
thank you very much,
Christine S.
I'm taking out a 5 year loan.
interest rate is 7%
my car cost $78,200
equation: I = P x R x T
Interest = Principal x Rate x Time
$78,200 ( cost of car) x 0.07 ( interest rate) x 5 (5 yr. loan) = $27,370
$78,200 ( cost of car) + $27,370 ( interest rate) = $105,570
total cost = $105,570 ( including interest rate)
can you tell me if I did this right?
thank you very much,
Christine S.