Understanding APR to EAR Formula: A Simple Guide
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Understanding APR to EAR Formula: A Simple Guide
Learn the APR to EAR formula simply, converting annual percentage rates to effective annual rates for better financial understanding.
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Calculate (a) the amount financed, (b) the total finance charge, and (c) the APR by formula: (Do not round intermediate calculations. Round the "Finance charge" to the nearest cent and "APR" to the nearest tenth percent)Purchase price of a used car: 5,673Number of monthly payments: 1,223Down payment:4,450Total of monthly payments: 5,729.76Total finance charge:1,279.76APR:
Calculate (a) the amount financed, (b) the total finance charge, and (c) the APR by formula: (Do not round intermediate calculations. Round the "Finance charge" to the nearest cent and "APR" to the nearest tenth percent)Purchase price of a used car: 5,673Number of monthly payments: 1,223Down payment:4,450Total of monthly payments: 5,729.76Total finance charge:1,279.76APR:
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