hannahstrang11
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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 $.
a. 780.06
b. 749.62
c. 751.62

The finance charge in dollars is $.
a. 130.06
b. 110.06
c. 120.06

Respuesta :

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= [tex]0.075\times650=\$487.5[/tex]

He will make 12 payments of $24.38 each.

Total monthly payments = [tex]12\times24.28=\$292.56[/tex]

The total amount paid = Down payment + Total monthly payments

[tex]=\$487.5+\$292.56=\$780.06[/tex]

The finance charge = Total amount paid - Cost price

[tex]=\$780.06-\$650=\$130.06[/tex]

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

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