1) After visiting several car dealerships, Jennifer selects the car she wants. She likes its $10,0000 price, but financing through the dealer is no bargain. She has $2,000 cash for a down payment, so she needs an $8,000 loan. In shopping at several banks for an installment loan, she learns that interest on most automobile loans is quoted as add-on rates. That is, during the life of the loan, interest is paid on the full amount borrowed even though a portion of the principal has been paid back. Jennifer borrows $8,000 for a period of four years at an add-on interest rate of 11%.

a) What is the total interest on Jennifer's loan?

b) What is the total cost of the car?

c) What is the monthly payment?