Skip to content
#
Tom has been saving for a new car and finally has the money to make the deal. He put down $3,800 and will be paying $325 a month for 5.5 years. What is the total cost of his purchase?

8
0
0

A
$25,250
*down payment* + *total installments*
For total installments:
The first step is to find out the number of months Tom will pay:
5.5 years x 12 months in a year = 66 months
If he pays $325 per month, he will pay $325 x 66 = $21,450 in installments.
Add this to his down payment for the total cost of the car:
$3,800 + $21,450 = $25,250 (the total cost of the car)

Explaination

The total cost of the car =
B $23,300

C $19,500

D $21,450

Take more free practice tests for other ASVAB topics with our practice test for the asvab now!