Suppose you purchase a new car today for $26,000. Instead of paying all of $26,000 today, you decide to finance the balance over 36 months. That is, paying $26,000 can be spread out over 36 months. If the interest rate is 5% (in this case, interest rate is the cost of financing), what comes closest to your monthly payment? Tips: The units have to be consistent. In this case, everything has to be in terms of month.