You decided to buy a new car. To finance the purchase you borrowed $23,114 at an interest rate of 1.89%. You will be making monthly payments for 7 years to pay this loan. From your first monthly payment, how many dollars will be allocated to the principal? How much of the monthly payment is paid on the balance in the first payment? Hint: Use your amortization schedule to calculate the payment, the interest and the amount paid
on the balance.
Round to the nearest penny and enter your answer in the box below.