Question

Lenny Lendee purchased a snowblower for $199.95. He paid 25% down and agreed to pay $14.99 for 12 months.

His 25% down payment was $.

So he will finance $.

At the end of one year, his monthly payments will total $.

To the nearest tenth, his APR = total finance charge ÷ amount borrowed = %.

Answer 1

Hi there!

His 25% down payment was $ 49.99.
So he will finance $ 149.96.
At the end of one year, his monthly payments will total $ 179.88.
To the nearest tenth, his APR = 29.92 ÷ 149.96 = 20.0%.

Your friend, ASIAX

Answer 2

199.95×0.25=49.99
199.95−49.99=149.96
14.99×12=179.88
(179.88-149.96)/149.96)*100=19.95%