+
Related Flashcards
Related Topics
Cards In This Set
| Front | Back |
|
What is a Term?
|
Amount of time for which a loan is granted.
|
|
Define Down Payment
|
Portion of the cash price ofthe item you are purchasing.
|
|
Define Amount Financed
|
Portion of the cash price of the item you are purchasing.
|
|
Define APR
|
Annual Percentage Rate is an index showing the relative cost of borrowing money.
|
|
Define Final Payment
|
If you pay off a simple interest installment loan before the end of the term, you just pay the previous balance plus the current month's interest.
|
|
What is the formula for interest?
|
Principal X Rate X Time
|
|
Cash Price of $1,265.
Down payment of $100. What amount is financed? |
$1,165
|
|
Cash price of $14,470.
Down payment of $3,000. What amount is financed? |
$11,470
|
|
Cash price of $8,371.39.
Down payment of 15 percent. What amount is financed? |
$1,255.71
|
|
Cash Price of 18,936.50.
Down payment of 30 percent. What amount is financed? |
$5680.95
|
|
Complete the Problem:
Waterbed. Cash Price of $1,360. Twenty percent down payment. |
$272.00
|
|
Complete the Problem:
Cash price of $725. Thirty percent down payment. |
$217.50
|
|
What is the down payment formula?
|
Amount X Percent
|
|
How do you calculate the Amount Financed?
|
Cash Price - Down Payment
|
|
Find the Amount Financed.
Cash Price of $1,399. Down payment $199. |
$1200
|
