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What additional factors should terry consider when deciding

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Terry wants to purchase a used car for $8000. The dealer offered to finance the deal at 8.5% APR for 4 years with 10% down payment. Terry's bank will provide a loan at 7.8% for 3 years, but wants a 20% downpayment. a) Calculate the required downpayment and monthly payments for each loan option. (Assume monthly compounding and monthly loan payments.) b) The PV for both options (including the down payments) is the same, $8000. What additional factors should terry consider when deciding which aid the best deal for her?

Reference no: EM13318848

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