Tan Company purchased a large server for $14,500. The company paid 50% of the value as a down-payment and received a loan for the balance at 4.75% compounded monthly. The loan has a term of 7 years and Tan Company has to make month-end payments to settle the loan.
a. What is the size of the month-end payments? Round to the nearest cent.
b. What was the total amount paid to settle the loan? Round to the nearest cent.