Question 1 (3 points)

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If you take out a $ 13,706 car loan that calls for 48 monthly payments at an APR of 12 percent, what is your monthly payment?

Your Answer:

Question 1 options:

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Question 2 (3 points)

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A store offers two payment plans. Under the installment plan, you pay 25 percent down and 25 percent of the purchase price in each of the next 3 years. If you pay the entire bill immediately, you can take a 10 percent discount from the purchase price. Which is a better deal if you can borrow or lend funds at a 5 percent interest rate? (The purchase price is $100)

Question 2 options:

	Installment Plan
	Pay In Full

Question 3 (3 points)

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You've borrowed $4,248.68 and agreed to pay back the loan with monthly payments of $200. If the interest rate is 12 percent stated as an APR, how long will it take you to pay back the loan? (Round to the nearest month)

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