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Finance: You pick out a new car and the dealer is offering 0% interest for 60 months or a $2,500 cash-back bonus. Your negotiated price
Finance:
You pick out a new car and the dealer is offering 0% interest for 60 months or a $2,500 cash-back bonus. Your negotiated price is $16,000. Your credit union is currently offering a special 2.6% for 60-month car loans. |
a. | What will be your monthly car payment if you accept the 0% interest offer? |
Monthly car payment: $266.60 | $ |
b. | What will be your monthly car payment if you accept the $2,500 cash-back bonus and finance the purchase at your credit union? |
Monthly car payment: $195.50 | $ |
c. | Should you accept the 0% interest offer or the cash-back bonus? | ||||
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