Question

You work at a car dealership and are told that a certain car is to sell for $12,080, which will include financing for 5 years (60 months). There will be a $500 down payment and the remainder in equal monthly payments. Find the amount of the monthly payment.

Answer 1

First we have to subtract the down payment from the whole sum:
$12,080 - $500 = $11,580
Then we will divide the rest by 60 ( we have 60 equal monthly payments ).
$11,580 : 60 = $193
Answer:
Monthly payment is $193.