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Calculate the amount of the new monthly payment

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George buys a new car and finances it with a loan of RM22000. He will make n monthly payments of RM450.30 starting in one month. He will make one larger payment in n+1 months to pay off the loan. Payments are calculated using an annual nominal interest rate of 8.4% convertible monthly. Immediately after the 18th payment he refinances the loan to pay off the remaining balance with 24 monthly payments starting one month later. This refinanced loan uses an annual nominal interest rate of 4.8% convertible monthly. i) Calculate the amount of the new monthly payment. ii) Find the month when the amount of principal repaid is twice more than the amount of interest payment

Reference no: EM132747294

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