Problem
You have decided to purchase a new automobile with a hybrid-fueled engine and a six-speed transmission. After the trade-in of your present car, the purchase price of the new automobile is $30,000. This balance can be financed by the auto dealer at 2.9% APR (compounded monthly) and repaid over 48 monthly payments. Alternatively, you can get an instant rebate on the purchase price if you finance the loan balance at an APR of 8.9% (compounded monthly) over 48 months. Determine the amount of the instant rebate that would make you indifferent between the financing plans.
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.