A car dealer offers you two deals on a car that costs $16,000.Please calculate the monthly payment, given these two payment options the car dealer is offering.

Payment Option 1: You can finance the car for 60 months with no interest if you make a $1,000 down payment.

Payment Option 2: You can finance the car for 72 months (6 years) with 2% simple annual interest and no down payment. (Hint: To calculate simple annual interest, use the formula Interest = Principal * Rate * Time. Add the amount of interest to the price of the car.)

Question

A car dealer offers you two deals on a car that costs $16,000.Please calculate the monthly payment, given these two payment options the car dealer is offering. 

Payment Option 1: You can finance the car for 60 months with no interest if you make a $1,000 down payment.

Payment Option 2: You can finance the car for 72 months (6 years) with 2% simple annual interest and no down payment. (Hint: To calculate simple annual interest, use the formula Interest = Principal * Rate * Time. Add the amount of interest to the price of the car.)

anonymous · Answer

Which monthly payment amount is lower? Please explain how you arrived at your answer and show all of your work. @AriPotta  @andreadesirepen @NY,NY @satellite73

anonymous · Answer

@zordoloom

anonymous · Answer

I dont understand this question.

anonymous · Answer

@AriPotta @zordoloom  any of you know how to do this??

anonymous · Answer

yes

anonymous · Answer

So there are 2 options for this problem. You have to chose the most appropriate one. 
So for option payment 1:

anonymous · Answer

Car costs $16,000. Down payment $10000

So, 16,000-1000=15,000 total payment

15,000/ 60 months

this is $250 each month.

anonymous · Answer

Would that be my answer?? and would that be how to explain it??

anonymous · Answer

No, that wouldn't be your answer. You solve each option, and then find the most appropriate one. 

Now solve the second option

The car cost $16,000

You finance it at 1.02 %
.....

anonymous · Answer

Im not sure what it would be for payment number 2

anonymous · Answer

So 16,000 x 2  Divide this by a total of 72 months. 

You get It to be $320 dollars. 

Go with payment option 1

anonymous · Answer

So to summarize

Payment option 1 is: $250 per month

Payment option 2 is: $320 per month

Go with option 1

anonymous · Answer

How do explain how i got payment number 2??

anonymous · Answer

Sorry, I skipped a few step, so...

Interest = Principal * Rate * Time

So, 

16000*0.02*72 = 23040

23040/72 = $320

anonymous · Answer

Does that make sense.

anonymous · Answer

Totally makes sense, thanks bro

anonymous · Answer

Help me with more stuff??

anonymous · Answer

sure

anonymous · Answer

One month, a music site observed that 60% of the people who downloaded songs from its site downloaded Q Sam's latest single. The equation below represents this information, where x represents the total number of people who downloaded songs from the site that month.

x = 0.6x + 384

How many people who downloaded songs from the site that month downloaded Q Sam's latest single? 
 A. 576

B.  240

C. 144

 D. 960

anonymous · Answer

@zordoloom

anonymous · Answer

@zordoloom  help me

anonymous · Answer

Please give me a few minutes to finish with the previous person.

anonymous · Answer

@AriPotta  help me too and @zordoloom  okayy

anonymous · Answer

ohh

anonymous · Answer

Okay, so it would be 576.

anonymous · Answer

Do you need work for this one?

anonymous · Answer

No i got it right