April decided to purchase a $12,000 msrp vehicle at a 5% interest rate for 4 years. the dealership offered her a $1500 cash-back incentive, which she accepted. if she takes all these factors into consideration, what monthly payment amount can she expect?

She can expect the monthly payment of $ 241.81 ( approx )

Step-by-step explanation:

Since,

The original price of the vehicle = $ 12,000

After getting $1500 cash-back incentive,

The price of the vehicle, P.V. = $ 12,000 - $ 1,500 = $ 1,050,

Now, the annual rate = 5 % = 0.05,

⇒ The monthly rate, r = ,

Time = 4 years,

⇒ Number of months, n = 4×12 = 48   ( 1 year = 12 months )

Now, the monthly payment would be,

Hence, she can expect the monthly payment of $ 241.81.