Solve the Problem $$n = - \frac { \log \left( 1 - \frac { A r } { 12 P } \right) } { \log \left( 1 + \frac { r } { 12 } \right) }$$

question 46

Multiple Choice

Solve the problem.
-The number n of monthly payments of P dollars each required to pay off a loan of A dollars in its entirety at interest rate r is given by $$n = - \frac { \log \left( 1 - \frac { A r } { 12 P } \right) } { \log \left( 1 + \frac { r } { 12 } \right) }$$ A college student wants to buy a car and realizes that he can only afford payments of $180 per month. If he
Borrows $5,000 at 6% interest and pays it off, how many months will it take him to retire the loan?
Round to the nearest month.

• A) 30 months
• B) 28 months
• C) 29 months
• D) 31 months

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Definitions:

Adults

Individuals who have reached the age of maturity, typically marked by the assumption of responsibilities and independence.

Sensation

The process by which sensory receptors and the nervous system receive and represent stimulus energies from the environment.

Perception

The process by which individuals organize and interpret their sensory impressions to give meaning to their environment.

Transmission

The action or process of transmitting something or the state of being transmitted, such as data, diseases, or genetic traits.