Question

Mr. Jones decides to purchase a car for $10,000. The dealer offers to finance the car at 8% interest. What is the payment amount that Mr. Jones would be expected to pay

Answer 1

$9,200

Step-by-step explanation:

Mr Jones is expected to pay $9,200. Here is how I came by this amount.

Purchase amount = $10000

Interest rate = 8% is offered by dealer to finance the car.

10,000 of 8%

= 10000 x 0.08

= 800

The purchase amount of 10,000 dollars minus 800

= $9,200

I hope this helps!