1. A loan of P12, 500 is to be repaid with equal quarterly payments for one year with an interest of 6% compounded quarterly.  Find the quarterly payment and construct an amortization schedule.

Q: A cash loan is to be repaid by paying $13,500 at the beginning of every month for 3 years. If…

A: Here, Monthly payment = $13,500 Number of years = 3 years Interest rate = 12% Payment at the…

Q: The Flemings secured a bank loan of $368,000 to help finance the purchase of a house. The bank…

A: Calculation for the size of each repayment if loan is to be amortized at the completion of the term:…

Q: We will use Excel PMT function to calculate the payment Rand then create an amortization schedule…

A: PMT function in excel is used to calculate the amount of payment received or paid by the individual.…

Q: Use the appropriate formula to find the amortization payment you would need to make each 3 months at…

A: Amortization payment refers to that payment which is required to be paid to payoff the loan during…

Q: The cost of the book is P1,000,000 which will amortized for 3 years monthly but he will start paying…

A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: An interest-only ARM is made for $200,000 for 30 years. The start rate is 5 percent and the borrower…

A: a) Computation:

Q: Calculate the present value of a loan that could be cleared by payments of $3,250 at the end of…

A: Present value of loan ca be calculated by using loan amortisation formula. Present value of loan(P)=…

Q: To pay off a loan of P1M, it is required that quarterly payments that increase by P1000.00 be made…

A: The cash flow diagram and the amortization schedule: A cash stream refers to a periodic cash inflow…

Q: Monthly payments are to be made against an $850,000 loan at 7.25% compounded annually with a 15-year…

A: Hello. Since your question has multiple sub-parts, we will solve first three sub-parts for you. If…

Q: To start your business, you take a loan of $20,000 at 6.25 % compounded semi-annually. You want to…

A: Requirement : Question 1C Loan = 20,000 Interest rate = 6.25℅ compounded semi annually Annual loan…

Q: An institutional lender is willing to make a loan for $1 million on an office building at a 6…

A: Hi, there, Thanks for posting the question. As per our Q&A honour code, we must answer the first…

Q: a. Set up an amortization schedule for a GHȼ 25,000 loan to be repaid in equal installments at the…

A: Annual Payment  = Principal × Rate (1+rate )n/ (Rate + 1)n -1  Loan Amount = GH¢ 25,000 Time (n) = 5…

Q: An institutional lender is willing to make a loan for $1 million on an office building at a 10…

A: Excel Spreadsheet: Excel Workings:

Q: Calculate the present value of a loan that could be cleared by payments of $3,300 at the end of…

A: Using excel PV function

Q: Find the payment necessary to amortize a 4% loan of $2100 compounded quarterly, with 19 quarterly…

A: Payment size: It implies to the amount of payment that is made in respect of a loan at regular…

Q: Suppose a borrower makes a $100,000 loan with annual payments at a 10 percent rate and a 10-year…

A: Annuity:   An annuity is the series of payments which is received or paid for a fixed period of…

Q: Payments of $1,200 in 1 year and another $2,500 in 6 years to settle a loan are to be rescheduled…

A: Here, Payment in year 1 is $1,200 Payment in year 6 is $2,500 Reschedule payment in 14 months is…

Q: Malik took out a loan for $27,800 from CIBC at 5.51% compounded quarterly, and will be making…

A: We need to use financial calculator to solve this problem  where P/Y =Payments par year C/Y…

Q: Prepare an amortization schedule for a four-year loan of $165,280. The interest rate is 4% per year,…

A: EMI or monthly or annual mortgage payments are the fixed amount paid by the borrower to the lender…

Q: Develop an amortization schedule for the loan described below. $45,000 for 2 years at 5% compounded…

A: The question is based on the concept of Loan and amortization, Annuity.

Q: Suppose that you borrow $10,000 from a bank to purchase a car. You agree with the bank to repay the…

A: Given: Particulars Amount Loan $10,000 Interest rate 16% Years 1

Q: A $13,000 loan is to be amortized for 10 years with quarterly payments of $414.98. If the interest…

A:

Q: You are asked to help the company "X" by computing the Loan repayment table. a) Draw up the…

A: An equal cashflow for a fixed number of times at equal intervals is called annuity. If A is equal…

Q: borrowed Php200,000 from a local bank having an interest of 8% per annum, compounded monthly. If the…

A: Loans are to be paid by the equated monthly payments which carry the payment of principal and…

Q: A loan of 40,000 Php is to be paid by equal payment at the end of each quarter for 1 year and a…

A: Loan is an amount of money borrowed from a lender. It is expected that the loan will be repaid at…

Q: Find the periodic payment ?

A: Loan is a contract between lender and borrower where lender provide funds to borrower for definite…

Q: An obligation of P35, 000 is to be repaid with equal monthly payments for 6 months  with an interest…

A: As per time value of money concept, a sum of amount invested today will have more value in future…

Q: Hi, can you please help me solve this problem? I need one amortization table per each problem, 3 of…

A: Amortization table is a table that shows loan schedule or re-payment schedule of loan. It includes…

Q: 1. Mary made a loan of P58,000 to supply her new business. It is to be amortized by ten equal…

A: We need to use RATE function in excel to calculate interest rate. Formula is =RATE(NPER,-PMT,PV)

Q: A basic ARM is made for $200,000 at an initial interest rate of 6 percent for 30 years with an…

A: Hello. Since your question has multiple sub-parts, we will solve first three sub-parts for you. If…

Q: Monthly payments of P8,000 each are used to settle a loan for 8 months at 8% compounded monthly.…

A: The present value is the value of the sum received at time 0. It is the current value of the sum…

Q: A loan is to be repaid quarterly for 5 years that will start at the end of 2 years. If interest rate…

A: Given Information: Quarterly payment = 10,000 Annual interest rate = 6% Number of years payment made…

Q: An amount of $15,000 is borrowed from the bank at an annual interest rate of 12%. Solve, a.…

A: Annuity Factor = [1-(1 + Interest Rate)-No. of periodsInterest  Rate…

Q: A loan is to be repaid quarterly for 14 years that will start at the end of 4 years. If the interest…

A: The concept of the time value of money states that the current worth of money is more than its value…

Q: PLEASE DO THE FOLLOWING ON AN EXCEL SPREADSHEET: Consider a loan of $1,000,000 with the nominal…

A: Given information : Loan amount $1,000,000 Annual interest rate 10% Time period (years) 15…

Q: Calculate the present value of a loan that could be cleared by payments of $3,350 at the end of…

A: Present value is the current value of a a sum of money as compared to a future value that includes a…

Q: Monthly payments of P800 each are used to settle a loan for 8 months at 8% compounded monthly. Find…

A: Monthly payment  (P)= P 800 Number of monthly payments (N) = 8 Annual interest rate = 8% Monthly…

Q: . A loan of Php 40,000.00 with interest rate of 15% compounded biannually, is to be discharged by a…

A: Loan amount = Php 40000 Semi-annual rate R = 15%/2 = 7.5% Number of semi-annual period = 10 First 6…

Q: he Flemings secured a bank loan of $320,000 to help finance the purchase of a house. The bank…

A: This question is asking for a monthly payment of a loan of $ 320,000 at 2% per year repayment in 25…

Q: Suppose we need to make 10 end-of-year payments of $5, 000 to pay off a loan. Assuming the rate of…

A: A loan is a sort of debt that is taken on by an individual or another institution. The lender, which…

Q: Find the payment necessary to amortize a 7% loan of $2200 compounded quarterly, with 6 quarterly…

A: Quarterly Payment needed to amortize this loan : $  -389.45 Reference:

Q: Use the appropriate formula to find the amortization payment you would need to make each three…

A: A type of loan in which the borrower has to make a schedule for the periodic payment regarding both…

Q: Alpha Ltd. has just borrowed to finance one of its projects. The loan contract specifies that the…

A: Quarterly payment (Q) = $5235 n = 5 years = 20 payments Interest rate = 5.6% compounded monthly Let…

Q: Mr. Green had a housing loan amounting to P2.664,676, and it was to be amortized by a group of 30…

A: Here, Loan Amount is P2,664,676 Time Period is 30 years Initial Payment at the end of First year is…

Q: You can obtain a loan of $200000 at a rate of 15 percent for two years. You have a choice of (i)…

A: Loan amount  $ 2,00,000.00 Time Period 2 Interest Rate 15%

Q: A basic ARM is made for $180,000 at an initial interest rate of 6 percent for 30 years with an…

A: Mortgage is long-term loan contract which is used to buy fixed asset generally home. Mortgage is…

Q: Find the payment necessary to amortize a 6% loan of $100,000 compounded annually, with 11 annual…

A: Loan amount = $100,000 Interest rate = 0.06 (i.e. 6%) Loan period = 11 years Annual payment = ?

Amortized Loans

The term "amortization" refers to spreading the value of a loan or a debt over a series of regular payments or installments comprising of both the principal and interest amount. It generally involves the process where in the value of a loan or an intangible asset is written down over its maturity period.