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Renee is going to buy a new car that has a list price of $19,675. She will be responsible for $1,420 in vehicle registration fees, $85 in documentation fees, and 8.92% sales tax. She plans to trade in her current car, a 2002 Buick LeSabre in good condition, and finance the rest of the cost over four years at an interest rate of 11.34%, compounded monthly. If the dealer gives Renee 85% of the listed trade-in value for her car, what will her monthly payment be? Round all dollar values to the nearest cent.

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Answer:

521.96 (A) IS THE ANSWER TO THIS QUESTION AND THAT IS 100 % SURE ANSWER.

The monthly payment that Renee will make for her car is $76.76.

Online Finance Calculator

We can use an online finance calculator to compute the monthly payment that Renee will make for her new car as follows:

Data and Calculations:

Auto Price = $19,675

Loan Term = 48 months (12 x 4)

Interest Rate = 11.34%

Down Payment = $0

Trade-in Value = $16,724

Sales Tax = 8.92%

Title, Registration, and Other Fees = $1,505 ($1,420 + $85)

Monthly Pay: = $76.76

Total Loan Amount = $2,951.00

Sale Tax = $263.23

Upfront Payment = $1,768.23

Total of 48 Loan Payments = $3,684.40

Total Loan Interest = $733.40

Total Cost (price, interest, tax, fees) = $22,176.63

Thus, the monthly payment that Renee will make for her car is $76.76.

Learn more about financing a car purchase at brainly.com/question/20566521