You have been given a choice of paying $20,000 for a new GM car with a $3,000 cash rebate (net cost of $17,000 which you

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answerhappygod
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You have been given a choice of paying $20,000 for a new GM car with a $3,000 cash rebate (net cost of $17,000 which you

Post by answerhappygod »

You have been given a choice of paying $20,000 for a new GM car
with a $3,000 cash rebate (net cost of $17,000 which you finance
separately), or zero percent financing for 48 months with no cash
rebate.
What is the implicit rate of interest in this deal?
7.53%
8.21%
5.90%
8.69%
4.30%
Please explain how to calculate thank you
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