Car loan An automobile dealer offers customers no-down- payment 3-year loans at an interest rate of 10%. If a cus- tomer can afford to pay $500 per month, find the price of the most expensive car that can be purchased.

Calculating payments, interest, and APR on auto loan After careful comparison shopping, Isabella Green decides to buy a new Toyota Camry. With some options added, the car has a price of $20,500 - including plates and taxes. Because she can't afford to pay cash for the car, she will use some savings and her old car as a trade-in to put down $5,000. She plans to finance the rest with a $15,500, 48-month loan at a simple interest rate of 12 percent.   What will her monthly payments be? Round the answer to the nearest cent.$ per month How much total interest will Isabella pay in the first year of the loan? Round the answer to the nearest cent.$ How much interest will Isabella pay over the full (48-month) life of the loan? Round the answer to the nearest cent.$ What is the APR on this loan? Round the answer to 1 decimal place. %

Bowflex’s television ads say you can get a Treadclimber that sells for $12,000 for 5 annual payments of $3,000. What annual rate of interest are you paying on this loan? PLEASE BREAK DOWN

Loan rates of interest Personal Finance Problem John Flemming has been shopping for a loan to finance the purchase of a used car. He has found three possibilities that seem attractive and wishes to select the one with the lowest interest rate. The information available with respect to each of the three $9,000 loans is shown in the following table, Each loan requires John to make one payment at the end of each year. a. Determine the interest rate associated with each of the loans. b. Which loan should John take? Data table (Click on the icon here into a spreadsheet.) in order to copy the contents of the data table below Loan Principal Annual payment Term (years) A $9,000 $3,492.43 B $9,000 $2,901.35 C $9,000 $2,136.75 5 345 Print Done O empts

it For pre nments Unit Activity: Credit Cards and Large Purchases Buying a House Bethany and Samuel are buying a new house. They have $25,000 saved for a down payment and know that they can afford a monthly payment of $1,500 or less. They also know that the best interest rate they can get is 5.1% annually and they want to sign a 30-year mortgage. Part A If 5.1% is the annual interest rate, what is the monthly interest rate? BI U X² X₂ V 田 15px- Space used (includes formatting): 0/ 15000 V V Part B If they sign a 30-year mortgage, how many monthly payments will they make? BIUX² X₂ 15px M くく EEEEE 6 of 7 E Dec 1 1:56 Save & Exit

Monthly loan payments Personal Finance Problem Tim Smith is shopping for a used luxury car. He has found one priced at $31,000. The dealer has told Tim that if he can come up with a down payment of $6,200, the dealer will finance the balance of the price at a 6% annual rate over 5 years (60 months). a. Assuming that Tim accepts the dealer's offer, what will his monthly (end-of-month) payment amount be? b. Use a financial calculator or spreadsheet to help you figure out what Tim's monthly payment would be if the dealer were willing to finance the balance of the car price at an annual rate of 3.8%? a. Tim's monthly (end-of-month) payment amount is $ (Round to the nearest cent.)

Loan A B с Principal $7,000 $7,000 $7,000 Annual payment $2,914.24 $2,256.61 $1,846.48 Term (years) 3 345 4

Simple Simon's Bakery purchases supplies on terms of 1.1/10, net 25. If Simple Simon's chooses to take the discount offered, it must obtain a bank loan to meet its short-term financing needs. A local bank has quoted Simple Simon's owner an interest rate of 10.6% on borrowed funds. Should Simple Simon's enter the loan agreement with the bank and begin taking the discount? (Hint: Use 365 days for a year.) The cost of forgoing the discount is %. (Round to one decimal place.) Should Simple Simon's enter the loan agreement with the bank and begin taking the discount? (Select the best choice below.) A. Simple Simon's should enter into the loan agreement but not begin taking the discount. B. Need more information to answer the question. OC. Simple Simon's should enter into the loan agreement with the bank and begin taking the discount. D. Simple Simon's should not enter into the loan agreement but should begin taking the discount.

Calculating Loan Payments You want to buy a new sports coupe for $69,300, and the finance office at the dealership has quoted you a loan with an APR of 5.6 percent for 48 months to buy the car. What will your monthly payments be? What is the effective annual rate on this loan?

You are interested in purchasing an automobile but you require financing. The dealer has provided you with several loan options to finance the purchase. Your market rate of return for the risk that you pose various lenders is 7%. The automobile that you want to purchase has a sticker price of $35,000 and a competitive market value of $31,000.    Here are your loan options: Loan 1:   loan has a term of 60 months, a contractual rate of interest of 8% and requires a down payment of $1,500 for the purchase of the car. The loan allows you to claim a rebate of $1,000 on the car at purchase. Loan 2:   The loan has a term of 72 months, a contractual rate of 7.5% and requires a down payment of $1,000 for the purchase of the car.   The loan allows you to claim a $500 rebate. Loan 3:   The loan has a term of 36 months a contractual interest rate of 0% and requires $4,000 down.   No rebate is available for this option. What is the value created or value destroyed for Loan 3 (round to the nearest…