Question

Lydia finds a car that costs 13,000, And She has 2,500 saved for a down payment. If she qualifies for a 5% interest rate, how much will the interest be calculated on?
13,000?

12,000?

15,500?

10,500?

THANKS IN ADVANCE!! :)

Answer 1

The interest will be calculated on 10500 since she has already 2500 saved.