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Shawn is trying to determine if there are savings to purchasing a car in addition to owning it after all the payments have be
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Answer #1

Solution:

Principal Amount is 25000

Interest rate = 4.75% /12 = 0.3958%

Period = 12*5 = 60 months

We can use PMT formula in Excel to find EMI

А 1 Principal 2 Interest 3 Period 25000 0.00395833 -4.75%/12 60 =12*5 5 EMI $468.92 =PMT(B2,B3,-B1) 7 Total Payment $28,135.3

Total Interest paid over the life of the car loan = $3,135

Hence option A is correct

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