Question

Jose Plans to make a down payment plus monthly payments in order to buy a Harley Davidson motorcycle. At one dealership, he would pay $8,000 down and pay $250 each month. At another dealership, he would pay $10,000 down and pay $125 each month. After how many months would the payment be the same for both dealers? What will that amount be?

Answer 1

• Answer:

a) 16 month

b) $12 000

• Explanation:

$8000 + 250m = $10000 + 125m

250m - 125m = $10000 - $8000

125m = $2000

m = $2000 : 125

m = 16 months

• After how many months would the payment be the same for both dealers ?

16 months

• What will that amount be ?

$8000 + $250×16 =

= $8000 + $4000

= $12000

$10000 + $125×16 =

= $10000 + $2000

= $12000