Nina buys a new sport utility vehicle for $32,000. She trades in her old truck and receives $10,000, which she uses as a down payment. She finances the balance at 8% APR over 36 months. Before making her 24th payment, she decides to pay off the loan. 

(a) Use Table 10.2 to determine the total interest Nina would pay if all 36 payments were made.

(b) What were Nina’s monthly payments?

(c) How much interest will Nina save by paying off the loan early?

(d) What is the total amount due to pay off the loan?

Table 10.2:

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Number Annual Percentage Rate 4.0% 4.5% 10.0% 6.0% 6.5% of payments 7.5% 5.0% 5.5% 7.0% 8.0% 8.5% 9.0% 9.5% (Finance charge per $100 of amount financed) 1.76 2.20 1.32 1.46 2.35 2.49 4.66 6.86 2.64 2.79 2.93 1.61 3.28 1.17 1.90 2.05 3.83 5.63 5.22 4.94 5.50 2.45 2.73 4.00 3.56 4.11 4.39 3.00 12 2.18 3.20 3.60 4.41 4.82 5.22 6.04 6.45 7.28 18 7.69 8.10 24 30 4.75 5.92 5.29 6.59 5.83 7.26 7.45 10.75 4.22 5.25 8.00 8.54 6.37 9.64 6.91 9.09 10.19 9.98 10.66 11.35 11.98 12.74 9.30 13.43 7.94 9.52 10.34 12.73 13.83 8.61 12.04 36 6.29 7.90 8.71 11.63 14.48 15.32 16.16 21.74 7.09 11.16 12.81 13.64 48 8.38 10.54 19.45 20.59 9.46 11.86 13.23 14.94 16.06 20.23 21.66 23.10 24.55 26.01 18.31 17.18 16.00 17.40 27.48 14.61 10.50 18.81