Use an Annual Percentage Rate Table to Solve the Problem

question 102

Multiple Choice

Use an annual percentage rate table to solve the problem.
-A college student purchased a used car for $4000. He paid 8% down and then paid 18 monthly Payments of $216.79. Determine the APR of the loan to the nearest one-half of a percent.

• A) 8.5%
• B) 7.0%
• C) 7.5%
• D) 6.0%

---

Definitions:

Monetary Policy

A central bank's process of managing the money supply and interest rates to influence economic activity.

Economic Policy

Actions taken by a government to influence its economy, including fiscal policy, monetary policy, and trade policy.

Franklin D. Roosevelt

The 32nd President of the United States, serving four terms from 1933 to 1945, and famous for implementing the New Deal to combat the Great Depression.