Assignment:
How to figure out a word problem to compare financing a car for 0% financing for 60 months or 2500 vs a 60 month 4 % interest rate.
Payments at 0 % are 16.67 per 1000 and payments at 4 % are $18.41 per $1000 financed. Need to know how to find out the range of new car prices for which the cash back options will cost me less. For what range of car prices should I take for the 0% financing?
Provide complete and step by step solution for the question and show calculations and use formulas.