YOURKINGNESS210 YOURKINGNESS210

23-08-2019
Business

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A customer is considering buying a new $30,000 car and will put $6,000 down and will borrow the remaining $24,000 from the automobile finance company. Assume that this customer has $24,000 in the bank earning 4% interest, but does not wish to use this money to pay for the new car. What are the loan terms offered?

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23-08-2019

He could take a personal loan or a automobile loan to cover costs or he could pay the 24K up front and take a loan of 6K so he can get the car.

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