Tina Is Able to Pay $160 a Month for Five

question 8

Multiple Choice

Tina is able to pay $160 a month for five years for a car. If the interest rate is 4.9%, how much can Tina afford to borrow to buy a car?

• A) $6,961.36
• B) $8,499.13
• C) $8,533.84
• D) $8,686.82
• E) $9,588.05

---

Definitions:

Profitable

A financial status where the income earned is greater than the expenses incurred, leading to a positive net income.

Invisible Hand

A concept proposed by Adam Smith, describing the self-regulating nature of the marketplace that guides individuals to unintentionally promote societal benefits through their own self-interest.

Self-Interest

Acting in a way that is most personally beneficial, often guiding economic decisions and behaviors.

Social Interest

The welfare or well-being of the general public and society as a whole, often considered in economic and policy decisions.