You (or your parents) are debating about whether to buy a new car for $19,072.00 or a used car for $15,635.00. Sales tax is 4.5%. You (or your parents) plan to make a down payment of $1,200.00 and your credit rating is fair. Use the table below to determine the difference in interest accrued by the end of the first month.
Secured Unsecured
Credit APR (%) APR (%)
Excellent 4.80 5.25
Good 5.15 5.65
Average 5.85 6.20
Fair 7.00 7.65
Poor 8.20 9.15
$18.02
$16.55
$20.95
$21.63
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