Dean takes his car out for a drive every weekend. His current car is still in okay condition, but he decides he'd like to buy a new one. He finds the car of his dreams for $24,950. He does some research and finds that his credit union will give him a 5-year loan with an APR of 4.75% if he makes a down payment of 15%.

1.What is the total amount Dean will pay for his car if he finances the purchase?

2.How much interest will Dean pay the credit union over the life of the loan?

Sam, Dean's younger brother, tries to convince Dean to save up for a new car instead of getting a loan. He tells Dean that the credit union has a savings account option that offers an APR of 1.2% compounded monthly, so long as the account maintains a minimum balance of $2000.

1.Since Dean has the down payment amount already, if he uses that to start a savings account with the credit union, then adds $250 to the account each month, how much will he have at the end of 5 years?

2.If Dean starts the savings account with his down payment money, how much would he have to deposit each month for 5 years to end up with the $24,950 he needs for the car of his dreams?