1.Evaluating finance packages Assume that you've been shopping for a new car and intend to finance part of it through an installment loan. The car you're looking for has a sticker price of $20,000. The local dealership has offered to sell it to you for $2,000 down and finance the balance with a loan that will require 48 monthly payments of $447.93; Adventure Vehicles will sell you the exact same vehicle for $1,500 down plus a 60-month loan for the balance, with monthly payments of $402.23. Which of these two finance packages is the better deal? 2.Calculating debt safety ratio Use Worksheet 7.1. Every 6 months, Larry Sun takes an Inventory of the consumer debts he has outstanding. His latest tally shows that he still owes $3,750 on a home improvement loan (monthly payments of $250), he is making $75 monthly payments on a personal loan with a remaining balance of $625; he has a $2,250, secured single-payment loan that's due late next year; he has a $65,000 home mortgage on which he's making $850 monthly payments; he still owes $6,600 on a new car loan (monthly payments of $400); and he has a $1,240 balance on his MasterCard (minimum payment of $30), a $50 balance on his Exxon credit card (balance due in 30 days), and a $1,400 balance on a personal line of credit ($60 monthly payments)