Question
After finding out that the dealers cost of a VW was 11.7 % lower than its sticker price of $17,350, Liz visited a local dealership,
After finding out that the dealers cost of a VW was 11.7 % lower than its sticker price of $17,350, Liz visited a local dealership, and was able to negotiate a price that left the dealer with a modest profit margin of 9.5% over the invoice price, and have him agreed to honor a rebate coupon of $250 that she submitted. The dealer offered to finance 83% of the total cost at an APR of 9 % so she can pay off the auto loan in 4 years. Before signing the contract, Liz ordered a $300 optional stereo unit to be installed and other additional accessories at a cost of $80.00. Title fees, License plate charges, and sale taxes would be paid later at the Registry of Motor Vehicles. Calculate by hand.
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