Finance Practice Problems
PROBLEM:

Your local auto dealer is offering the following alternatives on a new Chrysler Sebring, which has a stated price of $37,000.00:

  • $2,700.00 "cash back," or
  • "Special" 60-month 3.9% APR financing
If you can borrow from your local bank at 12% APR for 60 months, how much do you save by picking the best alternative?

ANSWER:
(Enter your answer in the box above in DECIMAL form.)



Rate This Problem's Difficulty Level
1 2 3 4 5 6 7 8 9 10
Very Easy Very Difficult
 Average Rating 
5.93
 # of Ratings 
586.00
View
Graph