QuestionSusie takes out a car loan for $\$ 21,000$ for a term of 3 years at $6 \%$ interest compounded monthly. (a) Find her monthly payment. (b) Find the total amount she pays for the car. (c) Find the total amount of interest she pays.

Studdy Solution
Calculate the total interest paid.
The total interest paid is the total amount paid minus the principal:
$$\text{Total Interest Paid} = \text{Total Amount Paid} - P$$ $$\text{Total Interest Paid} = 22986.36 - 21000$$ $$\text{Total Interest Paid} \approx 1986.36$$
The monthly payment is approximately $\$638.51$, the total amount paid is approximately $\$22,986.36$, and the total interest paid is approximately $\$1,986.36$.