installment loan principal $1,110 term length 2 1/2 years interest rate 12% monthly payment $43 how much of…

installment loan principal $1,110 term length 2 1/2 years interest rate 12% monthly payment $43 how much of the 26th payment will go to principal if there is an outstanding principal of $209? interest on 26th payment = $2.09 principal on 26th payment = $? round to the nearest hundredth.

installment loan principal $1,110 term length 2 1/2 years interest rate 12% monthly payment $43 how much of the 26th payment will go to principal if there is an outstanding principal of $209? interest on 26th payment = $2.09 principal on 26th payment = $? round to the nearest hundredth.

Answer

Answer:

$40.91$

Explanation:

Step1: Recall payment - principal relationship

Monthly payment = Interest + Principal

Step2: Calculate principal amount

Principal = Monthly payment - Interest Given monthly payment = $43$ and interest = $2.09$. Principal = $43 - 2.09=40.91$