Answer:
Price of the car or Principle amount= $33000
Rate of interest = 4% or 0.04
Interest = principle*rate*time
I = 33,000 x 0.04 x 4
I = $5280
So, total amount that will be payable after 4 will be = principle plus interest
So Let us assume that 4% rate is flat and this is not increasing or decreasing in 4 years. So, $38280 is to be paid in 60 months.
38280/60=638.00
Hence, the monthly payment will be $638.00
