Question
Suppose that you can purchase a car for $21,000 cash but the dealer offers to sell you the car for 2000 down and 442/month ,
Suppose that you can purchase a car for $21,000 cash but the dealer offers to sell you the car for 2000 down and 442/month , paid at the end of the month for 48 months. Based on the rate of 5.7% APR,
how much do you gain or lose by paying cash for the car instead of accepting his financing terms.
show excel work and formulas if possible.
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Microeconomics
Authors: Paul Krugman, Robin Wells
3rd edition
978-1429283427, 1429283424, 978-1464104213, 1464104212, 978-1429283434
