Kangaroo Autos is offering free credit on a new $12,500 car. You pay $1,700 down and then $360 a month for the next 30 months. Turtle Motors next door does not offer free credit but will give you...

Kangaroo Autos is offering free credit on a new $12,500 car. You pay $1,700 down and then $360 a month for the next 30 months. Turtle Motors next door does not offer free credit but will give you $1,050 off the list price.

a.If the rate of interest is 0.92% a month, calculate the present value of the payments to Kangaroo Autos.(Do not round intermediate calculations. Round your answer to 2 decimal places.)

b.Which company is offering the better deal?

multiple choice

• 
  
  
  

  Kangaroo Autos

  
  
  
  


• 
  
  
  

  Turtle Motors