Your pickup truck is high mileage and needing replacement. You have purchased a brand new F250 XLT 4 door pickup
truck. You were able to negotiate a total cost of $38,000 for this vehicle.
The sales tax in Texas for all vehicle purchases less trade-in value in Texas is 6.25% and you want to add this tax to the loan. You have decided to finance this vehicle for 7 years through Texas Tech Federal Credit Union for 3.9%.
During the first year (i.e. 12 months), how much interest did you pay