Purchasing a Car

Description of Car Purchased

In this section, you will describe the type of car that you will be fictitiously purchasing for this performance task. Your description should include at least the following characteristics: the year, the make, the model, the color, the manufacturers suggested retail price (MSRP), and the price you can purchase it for locally. You may also wish to include a picture of the vehicle as well.

Description of Car Loan Finance Options

In this section, you will describe the type of finance options available to you when purchasing the car from the previous section. You should have at least two options from a financial institution of your choice. Your description for each of the finance options should include at least the following characteristics: the financial institution from which the loan will be obtained, the term of the loan (3 years, 4 years, 5 years, etc.), and the APR of the loan. You can use the following table to help organize your options.

	Option 1	Option 2
Amount Financed
APR
Term of Loan

Calculation of the Car Loan Finance Option

In this section, you will describe the calculations of the options provided in the previous section. Your calculations should be for each option and should include the following: the monthly payment, the total amount of interest paid, and the total amount paid on the loan option. You can use the following table to help organize your options and calculations.

	Option 1	Option 2
Amount Financed
APR
Term of Loan
Monthly Payment
Interest Paid
Total Amount Paid

Additional Payments Made on Loan Options

In this section, we will analyze the effects of additional payments made on different loan options from the previous section. After you have completed the following table, write an analysis of the affect the additional payments have on the total amount paid on the loan. You can use the following table to help organize your calculations.

	Option 1	Option 2
Amount Financed
APR
Term of Loan
Amount of Extra Payment
Interest Paid w/o Extra Payment
Interest Paid w/ Extra Payment
Amount Saved w/ Extra Payments

Write your analysis of the table here.

Summary of Car Loan Finance Options

In this section, you will compare and contrast the various loan options. Your summary should include information from all of the previous parts and conclude by determine which option out of all of the options would be best, financially, for you to choose in the future.

Purchasing a Home

Description of Home Purchased

In this section, you will describe the home that you will be fictitiously purchasing for this performance task. Your description should include at least the following characteristics: the year the home was constructed, the number of bedrooms, the number of bathrooms, any additional characteristics of the house, and the price you can purchase it for locally. You may also wish to include a picture of the home as well.

Description of Mortgage Options

In this section, you will describe the type of finance options available to you when purchasing the home from the previous section. You will have at least two options from a financial institution of your choice. Your description for each of the finance options should include the amount financed, the APR offered by your financial institution of choice, and the monthly payment. Then, fill out the following table to summarize your mortgage options.

	Option 1: 30-Year Fixed	Option 2: 15-Year Fixed
Amount Financed
APR
Monthly Payment

Calculation of the Mortgage Options

In this section, you will describe the calculations of the options provided in the previous section. Your calculations should be for each option and should include the following: the amount financed, the APR, the monthly payment, the total amount of interest paid, and the total amount paid on the mortgage. Then, fill out the following table to summarize your mortgage options.

	Option 1: 30-Year Fixed	Option 2: 15-Year Fixed
Amount Financed
APR
Monthly Payment
Interest Paid
Total Amount Paid

Additional Payments Made on Mortgage Options

In this section, we will analyze the effects of additional payments made on the mortgage options from the previous section. After you have completed the following table, write an analysis of the affect the additional payments have on the total amount paid on the loan. You can use the following table to help organize your calculations.

	Option 1: 30-Year Fixed	Option 2: 15-Year Fixed
Amount Financed
APR
Amount of Extra Payment
Interest Paid w/o Extra Payment
Interest Paid w/ Extra Payment
Amount Saved w/ Extra Payments

Write your analysis of the table here.

Summary of Mortgage Options

In this section, you will compare and contrast the two mortgage options. Your summary should include information from all of the previous parts and conclude by determining which option out of all of the options would be best, financially, for you to choose in the future.