A used car is priced at 2695 If you borrow the money for your payments will be 122 a month 30 months How much save by paying cash?

To calculate how much you would save by paying cash for the used car, you need to determine the total amount of interest you would pay if you financed the car with monthly payments.

1. First, calculate the total amount of interest paid over the 30-month loan period:

Interest paid = Monthly payment x Number of months

Interest paid = $122 x 30 = $3,660

2. Next, calculate the total cost of the car if you finance it, including both the principal (the original price of the car) and the interest:

Total cost with financing = Principal + Interest paid

Total cost with financing = $2,695 + $3,660 = $6,355

3. Finally, calculate the savings by paying cash by subtracting the total cost with financing from the cash price of the car:

Savings = Cash price - Total cost with financing

Savings = $2,695 - $6,355 = -$3,660

Therefore, by paying cash for the used car, you would save $3,660 compared to financing it with monthly payments.