Ken pays a down payment of 20% on the cash price of a car and this amounted to $30,000. He is due to pay an installment of $3,600 per month for 3 years. Calculate: (i) The cash price of the car
(ii) The amount Ken would have paid in installments
(iii) The total Ken would have paid for the car
(iv) The amount that Ken would have saved by buying the car cash

(i) $150,000  (ii) $129,600   (iii) $279,600 (iv) $129,600

(v) 86.4%

Step-by-step explanation:

(i) 20%          = $30,000

   100/20      = 5

   cash price =$30,000 *5

                      =$$150,000

(ii) Installment per month= $3600

    12 months                    =$3600*12

                                         =$43,200

   Per year                       =$43,200

   3 years                        =$43,200*3

                                       =$129,600

(iii) Cash Price                =  $150,000

     Installment               = + $129,000

Total Payment               =  $279,000

(iv) Total Payment         =   $279,000

     Cash Price               = - $150,000

     Money Saved         =    $129,600

(v) Amount saved as a % cash price = $129,600 *100

                                                                150,000

                                                           = 12,960,000

                                                              150,000

                                                           = 86.4%