Answered

Westonci.ca is the ultimate Q&A platform, offering detailed and reliable answers from a knowledgeable community. Get precise and detailed answers to your questions from a knowledgeable community of experts on our Q&A platform. Get immediate and reliable solutions to your questions from a community of experienced professionals on our platform.

A certain car sells for $20,000, if it is paid for in
full (the cash price). However, the car can be
financed with a 10% down payment and
monthly payments of $1,000 for 24 months.
How much more money is paid for the privilege of financing, excluding tax, and what percent is this of the car’s cash price?

Sagot :

sqdancefan

Answer:

  $6,000 or 30% more is paid for financing

Step-by-step explanation:

The total of payments when the car is financed is ...

  10%×$20,000 +24×$1000 = $2,000 +24,000 = $26,000

The difference from the cash price is ...

  $26,000 -20,000 = $6,000

The percentage this difference is of the cash price is ...

  $6,000/$20,000 × 100% = 30%

Thank you for choosing our service. We're dedicated to providing the best answers for all your questions. Visit us again. We appreciate your time. Please revisit us for more reliable answers to any questions you may have. Get the answers you need at Westonci.ca. Stay informed with our latest expert advice.