Business
Business, 08.10.2020 03:01, cowboo5000pcl655

You can buy a car that is advertised for $24,600 on the following terms: (a) pay $24,600 and receive a $4,600 rebate from the manufacturer; (b) pay $410 a month for 5 years for total payments of $24,600, implying zero percent financing. a. Calculate the present value of the payments for option (a) if the interest rate is 1.25% per month. b. Calculate the present value of the payments for option (b) if the interest rate is 1.25% per month. (Do not round intermediate calculations. Round your answer to 2 decimal places.) c. Which is the better deal? Option a Option b

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You can buy a car that is advertised for $24,600 on the following terms: (a) pay $24,600 and receive...

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