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19 July, 08:37

You need to borrow $15,000 to buy a car, and you determine that you can afford monthly payments of $325. The bank offers three choices: a 3-year

loan at 7% APR, a 4-year loan at 7.5% APR, or a 5-year loan a 8% APR. Which loan best meets your needs? Show your work and explain your reasoning.

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  1. 19 July, 10:19
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    the 5yr / $270mth

    Step-by-step explanation:

    $15k * 8% = $1200 interest

    $15k + $1200 = $16,200.00

    $16500 : 60months (5years) = $270/mth pymt
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