Question
In: Finance
Tim Smith is shopping for a used luxury car. He has found one priced as $40,000....
Tim Smith is shopping for a used luxury car. He has found one priced as $40,000. The dealer has told Tim that if he can come up with a down payment of $7,500, the dealer will finance the balance of the price at a 55% annual rate over 5years (60 months). (Hint: Use four decimal places for the monthly interest rate in all your calculations.) 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 3.3%?
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FIRST QUESTION SOLVED WITH EQUATION AND SECOND WITH
EXCEL AS ASKED. YOU NEED SOME CHANGE, LET ME KNOW. THANK
YOU
jeff jeffy answered 4 weeks agoRelated Solutions
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