The price of a new SUV is $50,000 and you have $10,000 cash to make a down-payment. You will be able to finance the remainder of the balance over 60 months. Regarding the principle only, what percent of the original price of the SUV will you pay monthly?  Choose the correct option:  A) 1/2 %  B) 1 %  C) 1 1/3 %  D) 2 %  E) 3 %
A certain percentage of questions in the Quant section of the GMAT are just 'math questions' - you'll use a formula, do some calculations and you'll have the answer. This is one of those types of questions. You still have to write everything down and stay organized, but the work involved is relatively straight-forward.   Original price = $50,000.   Down-payment is $10,000, which is 20% of $50,000. ($10,000/ $50,000 x 100).   80% of original price remains. (100% - 20%)   80% to be paid over 60 months.   What percent of original price will be paid monthly? (80% ÷ 60 = 1 1/3 %)   1 1/3 %
<result>C</result>
The price of a new SUV is $50,000 and you have $10,000 cash to make a down-payment. You will be able to finance the remainder of the balance over 60 months. Regarding the principle only, what percent of the original price of the SUV will you pay monthly?