A Little Bit Every Month - You've recently completed your MBA at Darnit School. Naturally, you should buy a new BMW immediately. The cost of the car is about 36,000 dollars. The bank offers a 15% interest rate for a 72-month loan with a 10% down payment. You plan to exchange the car for a new one in two years. What will your monthly payment be? What is the effective interest rate of the loan? What about the credit balance when you trade the car?

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1 Loan Amount Cost of the car 36000 Down payment 10 of 36000 3600 Loan Amount Cost of the car Down p... View the full answer