Question
John is buying a motorhome. He has the following options: Option 1: Purchasing the motorhome for $62,880 from Honest Susie. Under this deal he would
John is buying a motorhome. He has the following options: Option 1: Purchasing the motorhome for $62,880 from Honest Susie. Under this deal he would pay 10% down and making 60 equal monthly which would include interest at 6%. Not being complete sure of the trustworthiness of Susie, he called the bank and, indeed, 6% was the going rate on such purchases. Option 2: Dealing Dave has offered the bus of $75,000. Under this deal, he would pay no money down and annual interest payments of 2%. Then at the end of the fifth year, he would pay the $75,000. Option 3: Mostly Honest Bill would sell him the bus to $72,000. Under this deal he would put no money down and pay the 72,000 in 48 equal monthly payments that include interest at 3% What would be the monthly payments under Mostly Honest Bill's deal?
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