FIGURE OUT THE FOLLOWING PROBLEMS FOR NEW VEHICLES

HOW TO FIND A WORKABLE DOCUMENT... A WORD DOCUMENT ? STUDENT SHARED ? CONSUMER ECON ? AUTO ? CALCULATING AUTO LOAN COPY FOR STUDENTS

FIGURE OUT THE FOLLOWING PROBLEMS FOR YOUR VEHICLES:

FAIR Interest rates for the following loan lengths are at a "

" credit rating...

24 month loan

Choice #1- High Choice #2 - Low

Interest rate

Monthly payments

Total Interest Paid Total Cost

36 month loan

Interest rate Monthly payments Total Interest Paid Total Cost

48 month loan

Interest rate

Choice #1- High Choice #2 - Low Choice #1- High Choice #2 - Low

Using your LOWEST INTEREST RATE... Roughly how much would your monthly payments INCREASE for each $1,000 ADDED to your loan? 2 Year Loan = $__________

3 Year Loan = $__________

4 Year Loan = $__________

5 Year Loan = $__________

Monthly payments Total Interest Paid Total Cost

6 Year Loan = $__________

60 month loan

Interest rate Monthly payments Total Interest Paid Total Cost

Choice #1- High Choice #2 - Low

72 month loan

Interest rate

Choice #1- High Choice #2 - Low

Monthly payments

Total Interest Paid

Total Cost

Calculate the MONTHLY AND the TOTAL COST of BOTH VEHICLES for EACH of the loan lengths above (use calculator for this portion).

Which loan length are you going to choose for your budget and why?

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