20. You really want to buy a used car for $11,000, but can only afford $200 a month. Whatinterest rate would you need to find to be able to afford the car, assuming the loan is for 60months?

The interest rate would you need to find to be able to afford the car, assuming the loan is for 60  months is 0.03%.Solution:Given, You really want to buy a used car for $11,000, but can only afford $200 a month.  We have to find what interest rate would you need to find to be able to afford the car, assuming the loan is for 60 months? Now, amount = 11000, simple interest = 200, time period = 60 months. We know that,[tex]\text { simple interest }=\frac{\text { amount } \times \text {rate} \times \text {time}}{100}[/tex][tex]\begin{array}{l}{\text { Then, } 200=\frac{11000 \times \text {rate} \times 60}{100} \rightarrow \text { rate }=\frac{200 \times 100}{11000 \times 60}} \\\\ {\rightarrow \text { rate }=\frac{2 \times 1}{11 \times 6} \rightarrow \text { rate }=\frac{1}{11 \times 3}} \\\\ {\rightarrow \text { rate }=\frac{1}{33}=0.03}\end{array}[/tex]Hence, the interest rate should be 0.03%.