Monthly Payments

[conics]

Jennifer bought a brand new sports car. The price of the car was $14,900 including sport wheels, an AM/FM CD stereo, and automatic transmission. The dealer gave her a $1,250 instant rebate on the price and 0% interest for 60 months. Jennifer made a down payment of $750. What would be the expression for Jennifer's monthly payments if she takes 60 months to pay the remaining balance?

(a) (14900 + 750 + 1250) / 60
(b) 14900 / (750 + 1250 * 60)
(c) (14900 - (750 + 1250)) / 60
(d) (14900 - 750 - 1250) * 60
(e) 14900 + (750 - 1250) / 60

[HallsofIvy]

Can't you reason this out? The total price was $14900. She got a rebate of $1250 and payed $750 down. Will those increase or decrease the amount she still must pay? Should they be added or subtracted?

She has 60 months to pay that. Will each monthly payment be more or less than the total amount she owes? Should you multiply the amount she owes by 60 or divide by 60?

[conics]

My answer is C.

I would have to divide the amount she owes by 60, right?

The total MINUS 1250 + 750 divided by 60, right?

[HallsofIvy]

Yes, C is correct. The rebate and the amount she payed down are subtracted and then the remaining amount is divided by the 60 months.

[Epsilon=One]

Yes, C is correct. The rebate and the amount she payed down are subtracted and then the remaining amount is divided by the 60 months.Excellent instructive answer to initial query!!!