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2 years ago

5

Charles wants to take out a 5 year loan on a car that costs $15,000. He is trying to make a rough estimate to decide if he can a

fford to make the payments. He can afford to pay up to $200 per month, and thinks this will be okay. Is this estimate reasonable?

1 answer:

marin [14]2 years ago

5 0

Answer:

No, This is not reasonable estimate.

Step-by-step explanation:

Charles wants to take out a 5 year loan on car that cost $15000.

He make rough estimate to make payment. He can afford to pay up to $200 per month.

First we find total number of months in 5 years.

Total months = 5x12= 60 months

Total estimate to pay = $60\times 200$ =$12000

we can see cost of a car $15,000 is greater than his estimation $12,000.

Therefore, Charles estimation will not work.

No, This is not reasonable estimate.

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