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March 23, 2011
The car of my dreams at the present time is a dark Plum, 2011 Dodge Challenger. I found a list of pricing
for my dream car at Motor Trends website for $25, 495.00. I went to my personal banking website, Texell
Federal Credit Union, and found a personal loan (for a car) to be at a low 3 % apr. After reducing the
interest rate by 1% per the “Simple Interest Car Loans” ad, I was left to calculate the amount of interest,
monthly payments, and the total cost of my dream car.
Below are the calculations WITH the ad from Simple Interest Car Loans;
Determine the Interest.
I=P*R*T
I= 25,495*.02*5
I= 510*5
I=$ 2,250.00
Determine the Total Cost.
TC= (P*R) T + P
TC= (25,495 *.02) 5 +25,495
TC= (510) 5
TC= 2,250 + 25, 495
TC= $27, 745.00
Model the total cost as a Linear Function, with Time as the Independent Variable.
F(T)= (P*R) T +P
F(5)= (25,495 *.02) T * P
F(5)= (510) * 5 + P
F(5)= 2,250 + 25, 495
F(5)= $27, 745.00
Divide total cost by the number of months, to determine the Monthly Payment.
TC / M= monthly payment
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 Winter '10
 hutchins
 Math, Algebra

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