Determine amount of yearly payment


Question: Jimmy just purchased a new four wheel drive Jeep Cherokee for his lumber business. The price of the vehicle was $35,000 of which he made a $5,000 down payment & took out an amortized loan for the rest. His local bank made the loan at 10% interest for five years. He has to pay back the loan in five equal yearly installments beginning one year from now. Determine the amount of Jimmy's yearly payment.

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Finance Basics: Determine amount of yearly payment
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