Dave krug finances a new automobile by paying $5,700 cash and agreeing to make 30 monthly payments of $490 each, the first payment to be made one month after the purchase. the loan bears interest at an annual rate of 12%. what is the cost of the automobile
$20400 total cost. 5700 originally plus his monthly payments of 30 months times the payment of 490. 490*30 = 14700 in monthly payments. 5700+14700=20400
