You wish to purchase a new 2020 Ford Mustang listed at $33000. The deal is offering...

 

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You wish to purchase a new 2020 Ford Mustang listed at $33000. The deal is offering incentives to new car buyers. There are two choices: A) $1600 cash back on a new Mustang with 1.7% financing for 69 months. B) 0% financing for 69 months. Assume that all compounding and repayment is continuous. Once you determine which offer is ultimately less expensive, en- ter the difference (i.e. how much cheaper is one financing option over the other). Round your answer to the nearest dollar. You wish to purchase a new 2020 Ford Mustang listed at $33000. The deal is offering incentives to new car buyers. There are two choices: A) $1600 cash back on a new Mustang with 1.7% financing for 69 months. B) 0% financing for 69 months. Assume that all compounding and repayment is continuous. Once you determine which offer is ultimately less expensive, en- ter the difference (i.e. how much cheaper is one financing option over the other). Round your answer to the nearest dollar.

Answer rating: 100% (QA)

Amount to be paid after 69 months at 17 P 1 rn nt here pprincipal rrate nannual no of compoun... View the full answer