Question

Tim and Michael are having trouble finding an IONIQ 5 in stock, so they’re also considering buying a Tesla model 3. They showed me an information sheet they got from the dealership. It stated that the monthly payments would be $952 for 72 months if they financed $59,440 for the car with the usual type of add-on loan that we studied.

How much in total will they pay back on the car loan?

Answer 1

Tim and Michael will pay back a total of $68,544 on their car loan for the Tesla Model 3, calculated by multiplying the monthly payment of $952 by the loan term of 72 months.

Step-by-step explanation:

The question asks how much Tim and Michael will pay back on their car loan for a Tesla Model 3 if they finance $59,440 at a monthly payment of $952 for 72 months. To find the total amount paid back, we multiply the monthly payment by the number of months in the loan term.

The calculation is as follows:
Monthly Payment x Number of Months = Total Amount Paid Back

So:

$952/month x 72 months = $68,544

Tim and Michael will pay back a total of $68,544 for their car loan.

the total repayment amount of $68,544 underscores the financial commitment Tim and Michael are making for the Tesla Model 3. This figure accounts for the principal amount borrowed, interest, and the 72-month financing term, providing a clear understanding of the overall cost of the car loan.