A dealer offers a $35,000 car with a downpayment of $3,000 and 65 easy monthly payments of $539.99. How much monthly interest rate is he charging?

Answer:9.68%Step-by-step explanation:cost of car = $35,000down payment = $3,000number of monthly instalments= $65amount in every monthly instalment= $539.99total monthly payment= 65×539.99= 35099.35amount to be paid apart from downpayment= $35,000-3000= 32,000therefore total interest paid in 65 months= 35099.35-3200= $3099.35now, monthly interest rate [tex]r= \frac{3099.35}{32,000}\times100[/tex]⇒ r= 9.68%