Web Analytics
hannahstrang11
Answered

Choose the correct answers for amount financed and the finance charge in dollars for the following problem.


Curtis Hindle purchased a mountain bike for $650.00 with 75% down. He will make 12 payments of $24.38 each. What is the total amount paid (including down payment) and finance charge in dollars?


The total paid (including down payment) is $.

A780.06
B749.62
C751.62

The finance charge in dollars is $.

A130.06
B110.06
C120.06

Verified Answer :

nobillionaireNobley

Total amount paid = (0.75 x 650) + (12 x 24.38) = 487.50 + 292.56 = $780.06

The finance charge is (780.06 - 650.00) = $130.06

JeanaShupp

Answer: a) 780.06

a)130.06

Step-by-step explanation:

Given: The cost price of mountain bike = $650

The down payment on purchasing mountain bike = 75% of $650

Therefore, Down payment= \(0.075\times650=\$487.5\)

He will make 12 payments of $24.38 each.

Total monthly payments = @@MATH_TOKEN_1@@

The total amount paid = Down payment + Total monthly payments

@@MATH_TOKEN_2@@

The finance charge = Total amount paid - Cost price

@@MATH_TOKEN_3@@

Hence, The total paid (including down payment) is $780.06 and the finance charge in dollars is $130.06.