Calculate the monthly payment for a 5-year car loan of $23,570 at 10.43% interest, compounded monthly. a. $247.44 b. $337.56 c. $433.88 d. $505.79

The monthly payment  for a 5-year car loan of $23,570 at 10.43% interest, compounded monthly is $505.79

Step-by-step explanation:

Given :  a 5-year car loan of $23,570 at 10.43% interest, compounded monthly.

We have to find the monthly payment.

Given: Loan Amount = $23,570

Interest rate = 10.43% = 0.1043

Time period = 5 years  = 5 × 12 = 60 months

We know

Where  A is amount paid

i is interest

t is time period

P is payment amount.

Thus substitute the know values, we get,

Solving for P , we get,

P =505.79

Thus, the monthly payment  for a 5-year car loan of $23,570 at 10.43% interest, compounded monthly is $505.79