Question 550777
Actual cost of the car = $12000
Interest = 7.5%
Terms = 48


Interest = (7.5%)(12000)
Interest = (7.5/100)(12000)
Interest = (75/1000)(12000)
Interest = (75)(12)
Interest = $900


Total cost of the car = actual cost + interest
Total cost of the car = 12000 + 900
Total cost of the car = $12900

Monthly payment = 12900/48
Monthly payment = $268.50