Hour 5 Algebra 2 Project by Maiya Focht
What Can I afford?
WHEN CAN I AFFORD MY CAR?
If I were to take out a three year loan, it would be a monthly rate of $576.50 which would not fit my budget.
If I were to take out a four year loan, it would be a monthly rate of $440.36 which would fit my budget.
If I were to take out a five year loan, it would be a monthly rate of $358.75 which would fit my budget.
Actual amount I decided to spend on the car loan:
I didn't chose the three year loan because of obvious reasons, I could not afford it. But I didn't choose the five year loan plan because of interest costs, with interest duration the overall cost of the car could've been much higher than the 4 year plan. Taking into account the fact that I couldn't afford the 3 year plan, and for 5 years it would simply take much longer to pay off which would be a pain, I chose the four year plan.
Which means over the course of the loan I will pay: