Question

Jennifer has to purchase a new car and wants to finance at most 3 4 of the total cost of the car (purchase price plus interest). The interest rate for financing right now is 1%. If she has $5,000 to put down, what is the most the car can cost (round to the nearest dollar)?

Answer 1

Explanation:

(1/4)x = 5000

x = 4*5000

x = 20000

101% ------> $20000

100% ------> y

y = (100)(20000)/101

y = 19801

so the total of the car is $19801