S-S2A. (Nonannual compounding using a calculator) Ford's current incentives include 4.9 percent APR financing for 60 months
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S-S2A. (Nonannual compounding using a calculator) Ford's current incentives include 4.9 percent APR financing for 60 months or $1,000 cash back on a Mustang. Let's assume Suzie Student wants to buy the premium Mustang convertible, which costs $25,000, and she has no down payment other than the cash back from Ford. Ifshe chooses the $1,000 cash back, Suzie can borrow from the vrech Credit Union at 6.9 percent APR for 60 months (Suzie's credit isn't as good as that ofProf. Finance). What will Suzie Student's monthJy payment be under each option? Which option should she choose?
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Related Book For
Financial Management Principles And Applications
ISBN: 9780131450653
10th Edition
Authors: Arthur J. Keown, J. William Petty, John D. Martin, Jr. Scott, David F.
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