Michael is considering financing a $21,000 truck over 5 years at 6% interest. If he trades in his $7,000 car, his monthly payment would be $270.66. The total interest paid over 5 years would be $2,239.60. If he puts down $2,000 instead of trading in his car, his monthly payment would be $367.32.
![Michael is thinking of getting a new truck. He is thinking of whether to trade his old car to buy a new truck and he was told that the present value of his car is $7,000. The truck he wants cost $21,000 & with financing rate of 6% per annum….. ,[object Object],[object Object],[object Object]](data:image/gif;base64,R0lGODlhAQABAIAAAAAAAP///yH5BAEAAAAALAAAAAABAAEAAAIBRAA7)