15. rob wants to purchase a $5,000 drum set. the music store offers him a
2-year installment a...
Mathematics, 20.11.2019 20:31 karlagomezgarcia96
15. rob wants to purchase a $5,000 drum set. the music store offers him a
2-year installment agreement requiring $800 down and monthly payments of
$202.50. rob has a poor credit rating.
a. what is his interest on this installment agreement?
b. instead of using the stores installment plan, rob can borrow $5,000 at an
apr of 7% from a local consumer finance company. what would be the
monthly payment for this loan using the table from example 1? round to
the nearest cent.
c. how much interest would the finance company charge?
d. should rob use the installment plan or borrow the money from the finance
company?
Answers: 2
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