m={(r/{1,200})(1+r/{1,200})^N}/{(1+r/{1,200})^N-1}P The formula above gives the monthly payment m needed to pay off a loan of P dollars at r percent annual interest over N months. Which of the following gives P in terms of m, r, and N ?

Question

m={(r/{1,200})(1+r/{1,200})^N}/{(1+r/{1,200})^N-1}P   The formula above gives the monthly payment m needed to pay off a loan of P dollars at r percent annual interest over N months. Which of the following gives P in terms of m, r, and N ?

Examsnet · Accepted Answer

Correct Answer is : P=(1+r1,200)N−1(r1,200)(1+r1,200)Nm

SATMathematics Practice Test 1