Jamie got a good deal on a used car but does not have enough funds to pay for the car. He needs $3,520 more to be able to buy the car. Jamie contacted you for advice regarding the different combinations of timing and interest computation methods and which option is best for him. Create and compute four different ways of finding time and interest (listed below), then advise Jamie on what to bargain for. Suppose Jamie could borrow the amount from a lender who charges 7 percent beginning September 5, 2017, through April 10, 2018.

WRITE A PARAGRAPH EXPLAINING WHICH OPTION IS BEST FOR HIM AND WHY

1. Exact time and ordinary interest

3520 X .07 X 217/360= $148.52 interest on the loan.

2. Exact time and exact interest

3520 X .07 X 217/365= $146.52 interest on loan

3. Approximate time and ordinary interest

3520 X .07 X 215/360= $147.16 interest on loan

4. Approximate time and exact interest

3520 X .07 X 215/365= $146.12 interest on loan