You've been shopping for a van. You have $5000 to use as a down payment, and you've

Question:

You've been shopping for a van. You have $5000 to use as a down payment, and you've been working with your bank to get the best financing rate possible. The bank recently quoted you an APR of 3.99% for 72 months, but they will only agree to finance you if your car payment does not exceed $350 per month. You recently found a nice used van with low miles, and you've negotiated the seller down to $27,500. Using your down payment and from the bank, can you afford the truck? Show all calculations and explain.
Line of Credit
A line of credit (LOC) is a preset borrowing limit that can be used at any time. The borrower can take money out as needed until the limit is reached, and as money is repaid, it can be borrowed again in the case of an open line of credit. A LOC is...