Car Loan Calculation Fun!

How can you calculate the total repayment of a car loan with 36 monthly payments of $340 each?

What is the total amount repaid for a car loan of $9,000 that requires 36 monthly payments of $340 each?

Answer:

The total repayment for a car loan of $9,000 that calls for 36 monthly payments of $340 each would be $12,240.

So, to calculate the total repayment of the car loan, you simply multiply the monthly payment amount of $340 by the total number of payments, which in this case is 36 months.

Here's the calculation: $340 (monthly payment) x 36 (total months) = $12,240.

This means that by the end of the loan term, you would have repaid a total of $12,240, which is $3,240 more than the original loan amount of $9,000. This difference is due to the interest added to the loan, which is a common practice in loan agreements.

Understanding how loans work and the total repayment amount is important before taking out any loan to ensure you are prepared for the full financial commitment.