Problem 2 A person bought a car with a loan of $35,000 two years ago, with...
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Problem 2 A person bought a car with a loan of $35,000 two years ago, with monthly payments for four years and EAIR of 3.25%. Now the person is transferred from Brooklyn to Hawaii, effective within a month. She is interested in knowing the current market value of her car due to depreciation, and the contractual and market value of her loan. Due to the general financial situation, the EAIR is now 4.725%. If she would like to ship the car to Hawaii, the cost will be $5,000. What is the financial situation that she is facing with her car and what is your suggestion to her? Problem 2 A person bought a car with a loan of $35,000 two years ago, with monthly payments for four years and EAIR of 3.25%. Now the person is transferred from Brooklyn to Hawaii, effective within a month. She is interested in knowing the current market value of her car due to depreciation, and the contractual and market value of her loan. Due to the general financial situation, the EAIR is now 4.725%. If she would like to ship the car to Hawaii, the cost will be $5,000. What is the financial situation that she is facing with her car and what is your suggestion to her?
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analyze the financial situation regarding the car loan and its current market value we need to consider several factors Current Market Value of the Ca... View the full answer
Related Book For
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
Posted Date:
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