A store will give to 3% discount on the cost of your purchase if you pay cash today. Otherwise you will be billed the full price with payment due in 1 month. What is the implicit borrowing rate being paid by customers who choose to defer payment for the month?

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A: Price =$ 950 Down payment = $ 50 Loan = 950-50 = $ 900 Annual interest rate = 18% Monthly interest…

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Q: A store will give you a 4.00% discount on the cost of your purchase if you pay cash today.…

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A: The implicit rate of borrowing is the cost paid in the terms of discount by the customer if the…

Q: 2.44. West Bank gives consumer loans at the annual interest rate of 8.25%. Suppose you take out a…

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Q: 10. Simple-interest loan $1800 @ 8% for 12 months with a monthly payment of $156.60. After 8 months…

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A: Formula: P = { A [ R / N ] } / { [ 1 + ( R / N )Nt - 1 ]} Interest is getting compounded monthly.

Q: merchant is offered a 5% discount for immediate payment of a bill which is due in 90 days.  What is…

A:

Q: Suppose Tom has a credit card debt of $4000 which has an annual rate of interest 18%. The minimum…

A: Given, Credit card debt amount is $4000. Annual rate 18% Minimum payment $60.

Q: 19. Lola Samaria would like an installment loan of $1,200.00 for auto repairs. Walton Savines and…

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A: Balance value of the commodity will be PhP 10000 *(1-discount)

Q: A store will give you a 4.00% discount on the cost of your purchase if you pay cash today.…

A: Let's assume the cost of purchase is C. On immediate payment,Discount = 4%Hence, the discounted cost…

Q: terms.   As manager of​ Fly-by-Night Airlines, you decide to allow customers 90 days to pay their…

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Q: What is the implicit borrowing rate being paid by customers who choose to defer payment for the…

A: Information Provided: Discount rate = 4.75% Amount due (time) = In 1 month

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Q: A store will give you a 4.00% discount on the cost of your purchase if you pay cash today.…

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Q: 10. A credit card company offers a deferred payment option for the purchase of any appliance. Flora…

A: 10) Monthly payment (M) = P 2000 r = 7% per annum = 0.5833% n = 2 years = 24 months

Q: 7. You just received a $1,000 bill for your credit card, which has an annual interest rate of 18%.…

A: Following is the answer to the given question

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Q: A store will give you a 5.00% discount on the cost of your purchase if you pay cash today.…

A: Calculation of the implicit borrowing rate being paid by customers: Let's assume that the cost of…

Q: Question Help Credit terms. As manager of Fly-by-Night Airlines, you decide to allow customers 90…

A: a). Holding Period (90 days) return  = 0.021/0.979 = 0.02145 = 2.145% Now find for 2.145% over 60…

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Q: A store will give you a  3.75% discount on the cost of your purchase if you pay cash today.…

A: Monthly rate is calculated below:

Q: 7. You have taken out a loan of $32,000 to buy a new Saturn. The loan will be paid off in monthly…

A: where , P=32000 n=48 for r calculation convert compounded quarterly to compounded monthly.

Q: You just received your Citibank Mastercard bill and you owe $3,078.64. Your minimum payment is $57…

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Q: Credit terms. As manager of Fly-by-Night Airlines, you decide to allow customers 90 days to pay…

A: Holding period = 90 - 16 = 74 days holding period (74) return = $0.022$0.978= 2.249%effective annual…

Q: TY DUE: (please DON’T use excel) A sala set is bought for P2,500 down payment and P750 payable at…

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Q: You want to purchase a car with a sticker price of $25,000.The car dealer offers you a $2,000…

A: Note: I am supposed to provide the solution to the first question only. Please repost question no…