Problem

We have the following information for an automotive loan:
Purchase price: $\$ 30,400$; sales tax: $7.5 \%$; license and title fees: $\$ 350$; money credited for trade-in (subtracted from price of vehicle before taxes): $\$ 13,200$; payments: $\$ 499.68$ for 72 months.
Part: 0 / 4
Part 1 of 4
Find the total cost of the car.
The total cost of the car is $\$ 33,017^{\otimes}$.

Answer

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Answer

Final Answer: The total cost of the car is \(\boxed{18840}\)

Steps

Step 1 :Given the following information for an automotive loan: Purchase price: $30,400; sales tax: 7.5%; license and title fees: $350; money credited for trade-in (subtracted from price of vehicle before taxes): $13,200; payments: $499.68 for 72 months.

Step 2 :The total cost of the car can be calculated by adding the purchase price, sales tax, and license and title fees, and then subtracting the money credited for trade-in. The sales tax is calculated on the price of the vehicle after subtracting the trade-in value.

Step 3 :First, subtract the trade-in credit from the purchase price: \(30400 - 13200 = 17200\)

Step 4 :Next, calculate the sales tax: \(17200 * 0.075 = 1290\)

Step 5 :Add the sales tax and license and title fees to the price after trade-in: \(17200 + 1290 + 350 = 18840\)

Step 6 :Final Answer: The total cost of the car is \(\boxed{18840}\)

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