You are in a Kumatsu Motors dealership, ready to purchase its newest model of sedan. The...
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You are in a Kumatsu Motors dealership, ready to purchase its newest model of sedan. The price is $35,000. After striking the deal with the salesman, he comes back from the dealership's finance office with the following loan options from Kumatsu Credit Services with monthly payments after pulling your credit score. 36 Months 48 Months 60 Months 72 Months APR by Term and Loan Amount $20,001-$30,000 7.00% 8.40% 8.40% 9.40% Important information about your personal finances are as follows: Savings: $7,200 Gross Annual Salary: $60,000 Sum of Payroll Taxes and Insurance Premiums: 1/3 of salary Monthly Housing and Utilities: $1,700 per month Monthly Student Loan Payments: $350 Monthly Car Insurance Premiums: $100 Monthly Food, Clothing, & Entertainment Costs: $500 > $30,000 7.25% 8.65% 8.65% 9.65% Write your answers to these questions on the Answer Sheet (questions 1-5): What is the maximum payment per month you can afford? Which term and down payment do you choose? What is the monthly auto loan payment? What is the EAR? Why do you select this option? You are in a Kumatsu Motors dealership, ready to purchase its newest model of sedan. The price is $35,000. After striking the deal with the salesman, he comes back from the dealership's finance office with the following loan options from Kumatsu Credit Services with monthly payments after pulling your credit score. 36 Months 48 Months 60 Months 72 Months APR by Term and Loan Amount $20,001-$30,000 7.00% 8.40% 8.40% 9.40% Important information about your personal finances are as follows: Savings: $7,200 Gross Annual Salary: $60,000 Sum of Payroll Taxes and Insurance Premiums: 1/3 of salary Monthly Housing and Utilities: $1,700 per month Monthly Student Loan Payments: $350 Monthly Car Insurance Premiums: $100 Monthly Food, Clothing, & Entertainment Costs: $500 > $30,000 7.25% 8.65% 8.65% 9.65% Write your answers to these questions on the Answer Sheet (questions 1-5): What is the maximum payment per month you can afford? Which term and down payment do you choose? What is the monthly auto loan payment? What is the EAR? Why do you select this option?
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Related Book For
Introduction to Operations Research
ISBN: 978-1259162985
10th edition
Authors: Frederick S. Hillier, Gerald J. Lieberman
Posted Date:
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