Question

A Volvo car dealer wishes to sell a 1995 Volvo 740 GLE to a customer for $10,000, which includes the sales tax. The customer can only make a down payment of 20% of the total cost. What will be the remaining amount to be financed or paid by the customer?

Answer 1

After making a 20% down payment on a $10,000 Volvo car, the customer will need to finance the remaining $8,000.

Step-by-step explanation:

The question involves calculating the remaining amount to be financed for the purchase of a Volvo car after a down payment has been made. The total cost of the car is $10,000, which includes the sales tax. The customer can make a down payment of 20%, which is calculated as 20/100 × $10,000 = $2,000. Therefore, the remaining amount to be financed or paid by the customer would be $10,000 - $2,000 = $8,000.