Monday, May 11th, 2009

Today we came into class, sat down and started on our quiz. Our quiz was on Personal Finance and Sequences. Good luck class! After the quiz, we all sat quietly and went into our groups (for the other side of the blog), to discuss how we would present our unit chosen. Our unit chosen is due at the end of May.

Carl's car

Today was started off with doing possibly the LAST mental math for this semester!!!!

we corrected question 8 in the booklet.

a) Calculate Carl's monthly payment if she purchases the car and finances it over a period of 5 years.

$557.80

b) carl can lease the car for 375 a month ( including taxes) for a period of 48 months. After this time, the residual value of the car is 40% of the original purchase price of 31920. Calculate the total price including the down payment of 2000 and the lease payments to purchase the car at the end of the lease. Indicate your strategy.

$32768.00

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using the spreadsheet found in the "stuff you can use on the folder" , "mortgage schedule 2"

House price: $300,000

down payment: 10%; $30,000

interest rate: 4.75%

amortization period: 25 year

still working on uploading screen shots and explainations

*chiquitita*

Lease vs. Purchase w/ Stratigies

"There will never be a dance party in fifth block applied math." - Mr. Max

We bought/leased cars today with our TVM solvers and/or spreadsheets. The question we are supposed have done by the end of the class is question 3 (involving Maila) on the back side of the first page of the booklet we got yesterday (Personal Finance Review).

While Max kept talking I kept listening and ignored the actual question, so I didn't really get anything done (I don't really like all this stuff anyway).

A useful way to "solve" the purchase problem is to use the PMT function in excel.

I'll expand on everything soon, just need to have something posted.