Problem
To purchase a new car it is necessary to borrow 518550. A car dealer offers a 6.yr loan at an interest rate of 4% compounded annually. If you make only one payment at the end of the loan period. repaying the principal and interest, what is the total annum that must be paid back?
a. What is the number of time periods (n) you should are in solving this probkm?
b. What rate of interest (4). per period of dme, should be used in solving this problem?
c. Is the present ingle amount of money (P) known? (Yes, No)
d. Which time value Dace should be used to solve this problem?
e. What is the total amount that most be paid back?
f. How much of the total amount repaid represems interest?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.