You really want to be able to buy a car so you can travel with your family but have only saved $200.

You are willing to borrow some money in addition to using your savings.

You determine that you can afford to make loan payments of $4,000 per year beginning at the end of the year and want to have the loan paid off in 7 years.

Assuming that an interest rate is 5.5 percent,

What would be the maximum value of the loan you can take and the total value of the car you can afford?