Buying a Car Project
Edmunds Car Buying Guide: This web site features both new and used car prices and also gives excellent discussion
of leasing versus buying, and whether to trade-in a vehicle or sell it yourself.
Kelley Blue Book; The Trusted Resource: This web site features "blue book" values--that is, prices you may expect
to find when shopping for a used car from a dealer.
Amortization Calculator: Use this form to calculate repayments, for principal and interest, on a loan taken out for a
given time period and interest rate.
Have the students calculate the monthly payment for their car for each option below using the monthly
payment formula (neatly handwritten).
Loan Interest Rate Length in Years
I 8% 5
II 9.75% 3
III 10.25% 4.5
IV 18% 2.5
V 22.25% 4
Cascade Bank: An Auto Loan Internet Application that you can use to apply for a loan through Cascade Bank.
Auto Loan Calculator estimates the overall cost of purchasing a car, including the sales price, sales tax, and the many
charges and fees that creep up on you when you finally decide to make the purchase. The worksheet calculates the total
Loan Amount, taking into account your down payment, trade-in, or cash rebate. You can then use the Auto Loan
Payment Calculator (another worksheet within the Excel workbook) to create an amortization schedule and analyze
different types of loans by changing the loan amount, interest rate, term of the loan (years), and the payment frequency.