You want to purchase a truck for $25,000 and you have $3,450 to put down. a....

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You want to purchase a truck for $25,000 and you have $3,450 to put down. a. How much will your payments be if you financed the truck for 60 months at 6%? b. How much would the payment be if rate of interest is 5% and you only financed the truck for 48 months? c. Assuming that you would only finance the truck for 4 years, how much would you need to put down to get your payment to $450.00? d. What type of a problem is this? You want to purchase a truck for $25,000 and you have $3,450 to put down. a. How much will your payments be if you financed the truck for 60 months at 6%? b. How much would the payment be if rate of interest is 5% and you only financed the truck for 48 months? c. Assuming that you would only finance the truck for 4 years, how much would you need to put down to get your payment to $450.00? d. What type of a problem is this?

Answer rating: 100% (QA)

a Using the formula for monthly payments of an installment loan we have PV 25000 3450 21550 present ... View the full answer