Question
Jim drives a Toyota MPV which he bought for $80,000 2 years ago. To finance the purchase, he took a car loan of $60,000 at
Jim drives a Toyota MPV which he bought for $80,000 2 years ago. To finance the purchase, he took a car loan of $60,000 at a flat-rate interest of 2% over a 7-year tenure.
(a) Determine the outstanding car loan.
(b) Compute the effective interest of the car loan.
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Foundations In Personal Finance
Authors: Dave Ramsey
College Edition
1936948001, 978-1936948000
