65. Larry wants to purchase a new car for personal use. He anticipates financing $40,000 of the...
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65. Larry wants to purchase a new car for personal use. He anticipates financing
$40,000 of the purchase price. The car dealer is offering a special 3.5 percent interest rate on new cars. Alternatively, Larry could use a home equity loan with an interest rate of 5 percent. Larry is in the 35 percent marginal tax bracket. Should Larry finance the car through the dealer or through a home equity loan?
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