Unit 351 | Lesson 3

Below… (1) Attach the slip that you drew. (2) Attach the three car ads you found. (3) Write which car and financing option you would choose and why.

Use the examples given to compute the down payment required to purchase the following vehicles:

Vehicle Price 15% Down Payment 20% Down Payment

1. Car $13,000 ____________ ____________

2. SUV $23,000 ____________ ____________

3. Truck $18,500 ____________ ____________

Compute the following

4. Cost of Vehicle: $14,000 Total Interest:

APR: 9% Total Loan Amount:

Duration of Loan: 5 years Monthly Payment:

Down payment: 10%

5. Cost of Vehicle: $5000 Total Interest:

APR: 4.5% Total Loan Amount:

Duration of Loan: 3 years Monthly Payment:

Down payment: 25%

6. Cost of Vehicle: $12000 Total Interest:

APR: 5% Total Loan Amount:

Duration of Loan: 4 years Monthly Payment:

Down payment: $2000

7. Cost of Vehicle: $7000 Total Interest:

APR: 7% Total Loan Amount:

Duration of Loan: 5 years Monthly Payment:

Down payment: $3000

8. Cost of Vehicle: $16000 Total Interest:

APR: 11% Total Loan Amount:

Duration of Loan: 3 years Monthly Payment:

Down payment: $2000

9. Cost of Vehicle: $16000 Total Interest:

APR: 11% Total Loan Amount:

Duration of Loan: 3 years Monthly Payment:

Down payment: $4000

10. If you double the down payment what happens to the total cost and payment of the vehicle? What two ways can you lower your monthly payment?