Consumer Payment Plan

Lisa purchases a professional racing bicycle that sells for $3,000, including tax. It requires a $200 down payment. The remainder, plus a finance charge, is paid back monthly over the next 2.5 years. The monthly payment is $111.75. What is the finance charge?

• $200

• $552.50

• $279.38

• $667.76

When you are solving an installment plan question what is the first piece of information you should look for?

Based on your note's which payment plan interest you the most?

• Installment Plan

• Deferred Payment Plan

• Layaway Plan

Mike bought a set of golf clubs that cost k dollars. He signed an installment agreement requiring a 5% down payment and monthly payments of g dollars for 4.5 years. How many monthly payments must Mike make?

Joseph purchased a laptop that regularly sold for w dollars but was on sale at 10% off. He had to pay t dollars for sales tax. He bought it on the installment plan and had to pay 15% of the total cost with tax as a down payment. His monthly payments were m dollars per month for three years. Write the expression for the amount of the discount.

Depot Headquarters has a new promotional payment plan. All purchases can be paid off on the installment plan with no interest, as long as the total is paid in full within 12 months. There is a $25 minimum monthly payment required. If the Koslow family buys a hot tub for $4,355, and they make only the minimum payment for 11 months, how much will they have to pay in the 12th month?

Mrs. Grudman bought a dishwasher at a special sale. The dishwasher regularly sold for $912. No down payment was required. Mrs. Grudman has to pay $160 for the next six months. What is the finance charge?

In your own words, how would you calculate the monthly total for an installment plan?

The Hut sells a $2,445 entertainment system credenza on a six-month layaway plan. If the monthly payment is $440, what is the sum of the monthly payments?