I need help please
i need help, only option A is needed for this assignment i just need to express the value of those options and a excel
Stage 1 -week 2 Juan Hernndez a graduate from Business School has worked since many years ago and nowadays he has a monthly income of $15,000 gross, for this activity, It is important to consider that he has saved most of his income which adds up to $ 200,000, so the following options have been considered: 1. Buy a new car 2. Put his money to work, that is, invest it in a financial instrument which generates higher interest than a savings account. Note: The $200,000 have been kept in a debit card, which pays a fixed annual interest of 2.70% Determined to make a decision, he began the task of gathering information related to the aforementioned alternatives. The information he gathered is shown below. OPTION 1: BUY A NEW CAR List price $350,000 Payment alternatives 1. 30% down payment and the rest to be paid in 5 years with possibility of advanced payments. The financial company's fixed interest rate is 15.99% per annum. Opening commission is equal to 3% (unique payment over the amount to be financed) 2. 20% down payment and the rest to be paid in 36 months with a fixed interest rate of 15.99% per annum. Opening commission is equal to 3% on the amount to be financed 3. Pay cash for a car with a discount of 5% invoice value. If Juan chooses this option, he knows that he would have to request a personal loan in the bank where he has his payroll, he would get it to complement the amount of the car's value. The rate he would get charged for the personal loan is 23.75% per annum with a 72 months term and fixed biweekly payments. Stage 1 -week 2 Juan Hernndez a graduate from Business School has worked since many years ago and nowadays he has a monthly income of $15,000 gross, for this activity, It is important to consider that he has saved most of his income which adds up to $ 200,000, so the following options have been considered: 1. Buy a new car 2. Put his money to work, that is, invest it in a financial instrument which generates higher interest than a savings account. Note: The $200,000 have been kept in a debit card, which pays a fixed annual interest of 2.70% Determined to make a decision, he began the task of gathering information related to the aforementioned alternatives. The information he gathered is shown below. OPTION 1: BUY A NEW CAR List price $350,000 Payment alternatives 1. 30% down payment and the rest to be paid in 5 years with possibility of advanced payments. The financial company's fixed interest rate is 15.99% per annum. Opening commission is equal to 3% (unique payment over the amount to be financed) 2. 20% down payment and the rest to be paid in 36 months with a fixed interest rate of 15.99% per annum. Opening commission is equal to 3% on the amount to be financed 3. Pay cash for a car with a discount of 5% invoice value. If Juan chooses this option, he knows that he would have to request a personal loan in the bank where he has his payroll, he would get it to complement the amount of the car's value. The rate he would get charged for the personal loan is 23.75% per annum with a 72 months term and fixed biweekly payments
