Armand wants to purchase a new car. What would be the advantage of buying the car with a car loan over using cash? (

If he buys the car with cash, he will end up paying more interest than if he paid off a loan.

If he buys the car with a loan, he can pay less for the car overall as he pays the loan off over time.

If he buys the car with a loan, he doesn't have to wait until he saves enough money to buy it.

If he buys the car with cash, then his credit will be harmed because of lack of payment history.

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Humberto Johns

6 September, 12:52

Armand wants to purchase a new car. What would be the advantage of buying the car with a car loan over using cash? (

If he buys the car with cash, he will end up paying more interest than if he paid off a loan.

If he buys the car with a loan, he can pay less for the car overall as he pays the loan off over time.

If he buys the car with a loan, he doesn't have to wait until he saves enough money to buy it.

If he buys the car with cash, then his credit will be harmed because of lack of payment history.

+1

Answers (1)

Know the Answer?

Eric Garner · Answer 1

the third reason

Explanation:

the second reason dosen't make sense because he still has to pay the full amount for the car, not anything less. And you can eliminate the first and fourth answers since they are about cash.