Answer:
$2,145 ; $147 ; 14 months
Step-by-step explanation:
Given that :
The cash price, that is, the amount that would be paid if customer is to pay the entire amount item is worth at once = $1998
Monthly payment = $143
Period = 15 months
The total installment price ; total amount paid on a monthly pay for 15 months :
(monthly payment * period)
($143 * 15)
= $2,145
The carrying charge :
Installment pay - Cash amount
$(2,145 - 1,998)
= $147
The number of month needed to save at Monthly rate to buy item at it's cash price :
Cash price / monthly payment
$1998 / $143
= 13.97
= 14 months
