After careful comparison shopping, Dustin Creamer decides to buy a new Toyota Camry. With some options added, the car has a price of $21,000 - including plates and taxes. Because he can't afford to pay cash for the car, he will use some savings and his old car as a trade-in to put down $11,000. He plans to finance the rest with a $10,000, 48-month loan at a simple interest rate of 10 percent.
What will his monthly payments be? Round the answer to the nearest cent.
$ per month
How much total interest will Dustin pay in the first year of the loan? Round the answer to 2 decimal places. (Use a monthly payment analysis procedure similar to the one in Exhibit 7.6.) $
How much interest will Dustin pay over the full (48-month) life of the loan? Round the answer to the nearest cent. $
What is the APR on this loan? Round the answer to the nearest cent. %