Project grading rubric24 (2)

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Georgia Gwinnett College *

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3000

Subject

Finance

Date

Apr 3, 2024

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docx

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1

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FINA 3000 Project Grading Rubric Objectives Use internet information to search for safety and price information to get the “best deal” for both a new vehicle and trade-in vehicle. Based on the current interest rates and the term of the new car loan, calculate the car payments you need to make every month (an application of the present value of annuity problems). Instructions Please see indtructionsproj2 for more detailed instruction on this project. Steps Description Points Step 1 Vehicle Name and Why It Was Chosen: for the purpose of this project, you may choose any NEW vehicle that you wish to purchase. Choose the newest available vehicle for your model for this project. 10 points Step 2 Car Buying Process Summary: Read the article “The Car Buying Process,” that is attached at the end of this project instruction. Write a four or five sentence paragraph that summarizes the main points from the article. 10 points Step 3 Vehicle Safety Summary and Discussion: Go to https://www.iihs.org/ and record available results for small overlap, moderate overlap, side, and frontal crash prevention. Go to the NHTSA site https://www.safercar.gov and record the frontal crash, side crash and rollover ratings for your vehicle. 10 points Step 4 and Step 5 Pricing Information: Go to the Kelley Blue Book internet site https://www.kbb.com/ and record the “fair purchase price” and the MSRP for the new vehicle and the trade-in value for your old vehicle. Also record the “CarsDirect” price for your new vehicle. 15 points Step 6 Interest Rates: Go to https://www.bankrate.com/loans/auto- loans/rates/#current-rates to get current auto loan rates. 10 points Step 7 Calculate total cost of car, i.e., an estimate of the “drive-out” net cost for the vehicle based on the assumptions listed in the project instruction. Follow the format in the sample project. 10 Points Step 8 Calculate the payments: in this step, you are required to calculate 12 monthly payments based on different assumptions on interest rates and number of payments. Each monthly payment you calculate is worth 4 point. The total is 48 points. 25 points Step 9 Calculate total interest paid and additional interest paid over the life the loan for longer loan term and higher interest rate. 10 points Total 100 points
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