Jim wants to purchase a used boat. The price is $8,000 cash or $1,200 down and 18 monthly payments of $429.00. Jim decided to fi

Question

2 years ago

8

Jim wants to purchase a used boat. The price is $8,000 cash or $1,200 down and 18 monthly payments of $429.00. Jim decided to fi

nance the boat.
Calculate:

The amount he will finance.
The total amount of this monthly payments.
The total finance charge.

Mathematics

1 answer:

inysia [295] · Answer 1 · 2022-05-18T15:24:01+03:00

inysia [295]2 years ago

7 0

The total monthly payments would be (18 payments) * ($429/payment) = $7,722.Adding the down payment of $1,200 gives a total amount of $8,922.
Since the upfront price would have been $8,000, this means that the total finance charge is $8,922 - $8,000 = $922.