Suppose you have saved $4,000 for a down payment on a new car. The largest monthly payment you can afford is $325. The loan will have a 12% APR based on end-of-month payments.

Use a financial calculator to determine the most expensive car you can afford if you finance it for 60 months versus 72 months.

Months Financed	Maximum Car Price
60
72

If you finance the car for a shorter period of time, you can afford a more expensive car.

True

False