Your car, which has market value of $7,000, is damaged in a hail
storm, and the insurance company gives you a co-payee check for
$1,500. You decide not to repair the car, and you take the check to
the co-payee, GMAC. GMAC states that the check will be applied to
the unpaid obligation, which is 36 remaining monthly payments of
$150. (The GMAC financing plan reflects an effective interest rate
of 12%). The GMAC plan for ($1,50/$150=10 payments). The GMAC...