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help on part D&E based on the front worksheet. Thank you When buying a car, most people cannot afford to buy it for the sticker
help on part D&E based on the front worksheet. Thank you
When buying a car, most people cannot afford to buy it for the sticker price. Usually, people take out a car loan. Buyers will pay an initial payment (down payment) on the car that will be paid to the car dealer. The rest of the money will be financed from a car loan. Research current available cars and finance offers. Decide on a new car you would like to purchase. You will make a down payment of 10% for the car. What is 10% of the sticker price? 3,999.80 The remainder of the cost is what you will be financing (ignore tax, title, and license for this). Subtra your down payment from your sticker price and write your amount to finance here: 35998.2 \begin{tabular}{l} 39998399980 \\ \hline \end{tabular} You will need to find the current interest rates available for new auto loans. Look at banks, dealerships, credit unions, etc. We will assume you will not be able to get a 0% interest loan from a dealer, so do not select that option. Decide on the rate and time period you will use for this project. Rate: 5% Time period: SyeaV. Complete the following info: You are borrowing $35998 to purchase a vehicle. You will repay the loan with equal monthly payments over S years at 5% interest compounded monthly. a. What is your monthly payment? Show your formula used and work to set it up. $679.3 120.051(1+120.05)60135,998.20$679.33 b. What is the total of all payments made? $40,759.83 c. How much interest was charged? d. Create a balance sheet for the first 6 payments. e. What if you could get a shorter term loan (if you picked 5 years, calculate 4 years instead. If you picked 4 years, calculate 3 years instead)? What is your monthly payment, total of all payments, and interest charged now? Show your formulas and calculations. Years used now Monthly payment Total of all payments Interest charged under new termsStep by Step Solution
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