Question

You are planning to buy a car worth $20,000. Which of the two deals described below would you choose, both with a 48-month term? (NB: estimate the monthly payment of each offer). i) the dealer offers to take 10% off the price, then lend you the balance at an annual percentage rate (APR) of 9%, monthly compounding. ii) the dealer offers to lend you $20,000 (i.e., no discount) at an APR of 3%, monthly compounding.

89

likes
445 views

Answer to a math question You are planning to buy a car worth $20,000. Which of the two deals described below would you choose, both with a 48-month term? (NB: estimate the monthly payment of each offer). i) the dealer offers to take 10% off the price, then lend you the balance at an annual percentage rate (APR) of 9%, monthly compounding. ii) the dealer offers to lend you $20,000 (i.e., no discount) at an APR of 3%, monthly compounding.

Expert avatar
Sigrid
4.5
114 Answers
10% off deal Monthly payment: A=\frac{18000(1+\frac{0.09}{12})^{48}(\frac{0.09}{12})}{(1+\frac{0.09}{12})^{48}-1}=447.93 Total payment: 447.93\times48=21500.64 No discount Monthly payment: A=\frac{20000(1+\frac{0.03}{12})^{48}(\frac{0.03}{12})}{(1+\frac{0.03}{12})^{48}-1}=442.69 Total payment: 442.69\times48=21249.12 No discount is better deal

Frequently asked questions (FAQs)
Question: What is the derivative of cos(3x) - 2sin(2x) at x = Ο€/4?
+
Question: How many sides does a regular pentagon have?
+
Question: Given a right triangle with one leg measuring 5 units and the hypotenuse measuring 13 units, what is the length of the other leg?
+
New questions in Mathematics
Add. 7/wΒ²+18w+81 + 1/wΒ²-81
-6(3x-4)=-6
-11+29-18
In a random sample of 600 families in the Metropolitan Region that have cable television service, it is found that 460 are subscribed to the Soccer Channel (CDF). How large a sample is required to be if we want to be 95% confident that the estimate of β€œp” is within 0.03?
If L = (-2, -5) is reflected across y= -4 , what are the coordinates of L?
a bank finds that the balances in its savings accounts are normally distributed with a mean of $500 and a standard deviation off of $40. What is the probability that a randomly selected account has a balance of more than $400?
A food delivery company charges on average a delivery fee of $5 per order (including food and shipping) and has monthly fixed costs of $600. If the average cost of each meal delivered that is revenue for the company is $10 and the company has a monthly profit of $800, how many orders must they deliver per month?
2. Juan is flying a piscucha. He is releasing the thread, having his hand at the height of the throat, which is 1.68 meters from the ground, if the thread forms an angle of elevation of 50Β°, at what height is the piscucha at the moment that Juan has released 58 meters of the thread?
Two numbers differ by 7, and the sum of their squares is 29. Find the numbers.
To celebrate the five-year anniversary of a consultancy specializing in information technology, the administrator decided to draw 3 different qualification courses among its 10 employees. Considering that the same employee cannot be drawn more than once, the total number of different ways of drawing among employees is:
If you randomly selected one person from the 900 subjects in this study, what is the probability that the person exhibits the minimum BMI?
5.- From the probabilities: 𝐏(𝐁) = πŸ‘πŸŽ% 𝐏(𝐀 ∩ 𝐁) = 𝟐𝟎% 𝐏(𝐀 Μ…) = πŸ•πŸŽ% You are asked to calculate: 𝐏(𝐀 βˆͺ 𝐁)
20% of 3500
Find 2 numbers whose sum is 47 and whose subtraction is 13
A triangular window has a base of 6 ft. and a height of 7 ft. What is its area?
Give an example of a function defined in R that is continuous in all points, except in the set Z of integers.
36 cars of the same model that were sold in a dealership, and the number of days that each one remained in the dealership yard before being sold is determined. The sample average is 9.75 days, with a sample standard deviation of 2, 39 days. Construct a 95% confidence interval for the population mean number of days that a car remains on the dealership's forecourt
A nondegenerate ideal gas of diatomic molecules with a kilomolar mass of 2 kg/kmol and a characteristic rotational temperature of 86 K is adsorbed on the walls of a container, where the binding energy is 0.02 eV. The adsorbed molecules move freely on the walls, and their rotation is confined to the plane of the walls. Calculate the surface density of adsorbed molecules at 12 K if the gas pressure is 103 Pa! What result would you get at 68 K and the same pressure?
6(k-7) -2=5
Dano forgot his computer password. The password was four characters long. Dano remembered only three characters: 3, g, N. The last character was one of the numbers 3, 5, 7, 9. How many possible expansions are there for Dano's password?