Answer:
Explanation:
If you pay cash, the total amount that you will pay for the television is $349
If you pay $75 down, the balance would be paid in 18 monthly payments of 22.50 which is the installment price of the TV. Total amount paid in 18 months would be
22.5 × 18 = $405
Total cost of the TV when you pay in installments would be
405 + 75 = $480
Difference between the installment price and the cash price would be
480 - 349 = $131
The percent by which the installment price would be greater than the cash price is
131/349 × 100 = 37.5%