A certain college graduate borrows 8115 dollars to buy a car. The lender charges interest at an annual rate of 11%. Assuming that interest is compounded continuously and that the borrower makes payments continuously at a constant annual rate k dollars per year, determine the payment rate that is required to pay off the loan in 6 years. Also determine how much interest is paid during the 6-year period. Round your answers to two decimal places. Payment rate i dollars per year Interest paid = i dollars

Holt Mcdougal Larson Pre-algebra: Student Edition 2012
1st Edition
ISBN:9780547587776
Author:HOLT MCDOUGAL
Publisher:HOLT MCDOUGAL
Chapter7: Percents
Section7.7: Simple And Compound Interest
Problem 23E
Question
A certain college graduate borrows 8115 dollars to buy a car. The lender charges interest at an annual rate of 11%. Assuming that
interest is compounded continuously and that the borrower makes payments continuously at a constant annual rate k dollars per year,
determine the payment rate that is required to pay off the loan in 6 years. Also determine how much interest is paid during the 6-year
period.
Round your answers to two decimal places.
Payment rate i
dollars per year
Interest paid = i
dollars
Transcribed Image Text:A certain college graduate borrows 8115 dollars to buy a car. The lender charges interest at an annual rate of 11%. Assuming that interest is compounded continuously and that the borrower makes payments continuously at a constant annual rate k dollars per year, determine the payment rate that is required to pay off the loan in 6 years. Also determine how much interest is paid during the 6-year period. Round your answers to two decimal places. Payment rate i dollars per year Interest paid = i dollars
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