Question
A car dealer gives you 2 options to buy a $30,000 new car. Option 1 is no money down, but pay back in equal monthly
A car dealer gives you 2 options to buy a $30,000 new car. Option 1 is no money down, but pay back in equal monthly installments for 4 years at 0% interest. The second option is to pay cash for the car and get a $2500 rebate. What is the IRR of the payment option?
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Multinational Finance
Authors: Kirt Butler
2nd Edition
0324004508, 978-0324004502
