After 48 months Jamie’s loan will be paid off. At the end of 48 months what will be the remaining balance on Jake’s loan? Do not MS Excel for solution

Q: Jamie and Jake each recently bought a different new car. Both received a loan from a local bank.…

A: An amortization schedule shows the amount of principal, interest, and the amount borrowed. The…

Q: While Mary Corens was a student at the University of Tennessee, she borrowed $20,000 in student…

A: To know period we have to calculating present value FACTOR annuity and depending on value and…

Q: Jeronica and Sandy have decided to purchase a cooperative apartment together. They have received a…

A: Given: Monthly payment = $592.40 Years = 30 Interest rate = 16.2% Loan amount = $42,500

Q: Rhett is about to begin college (4-year) and has received a 10-year $7,500 Federal Direct…

A: Annuity refers to series of annual payment which is paid or received at start or ending of specific…

Q: Ian loaned his friend $25,000 to start a new business. He considers this loan to be an investment,…

A: Calculation of annual payment and capital recovery schedule: Answer: The annual payment is $7,716.72

Q: Today is 1 September, and this is the birthday of your two children, Tom and Lilly. Tom is 1 year…

A: Age of Tom = 1 Age of Lily = 4 College Starting Age = 18 Interest Rate = 4%

Q: present value of the tuition fees

A: Introduction: The present value of a series of payments made at the beginning of a particular period…

Q: Taylor Swift, a college student of USEP decides to get a student loan amounting to $4,000 with an…

A: Amortized Loan:  Amortized loan is a type of loan in which the borrower would pay periodic payments…

Q: Patricia has borrowed an amount of Sh. 4 million to start a boutique business in Kileleshwa . The…

A: A loan amortization schedule is used to indicate the amount of principal and interest paid for each…

Q: Suppose that you borrow $5500 for your first year and $6500 for your second year (the maximum…

A: An accrued interest is an interest which interest has due on the principal amount and has to be paid…

Q: Kris borrows some money in her senior year to buy a new car. The car dealership allows her to defer…

A: Monthly payment can be calculated using the formula of the present value of annuity. Present value…

Q: Assume today is 1 September, and this is the birthday of your two children, Ashley and Alex. Ashley…

A: Time value tells that money received today is of more value than that of receiving the exact value…

Q: Chuck Ponzi has talked an elderly woman into loaning him ​$35000 for a new business venture. She​…

A: Time has been valuable in all aspects but in terms of finance, time has a money value. The worth of…

Q: Jennifer is planning to attend college when she graduates from high school 4years from now. She…

A: The frequency of payment is annual. However the interest rate is 12% compounded daily. Further there…

Q: Dan opens a line of credit at a local bank, and immediately borrows 2080 dollars. 5 months later, he…

A: A financial instrument that provides never-ending borrowing and paying facility to the borrowers is…

Q: Jane just turns 30 years old and wants to start a savings plan, where she contributes $X every month…

A: Given:

Q: Ralph has just borrowed 1200 dollars to purchase a new stereo, at a nominal rate of interest of 12.2…

A: Here, Borrowed amount is $1,200 Interest rate is 12.2% Compounding period is Monthly i.e 12 Monthly…

Q: While Mary Corens was a student at the University of Tennessee, she borrowed $14,000 in student…

A: It can be calculated using following function in excel =NPER(rate,pmt,pv,[fv],[type]) Rate The…

Q: Jenna owns a jewelry business, and she plans to save $500 every month for 3 years to buy precious…

A: Using Excel

Q: Upon the birth of his first child, Dick Jones decided to establish a savings account to partly pay…

A: Future value is the future worth of an investment which is calculated using the method of…

Q: Junior has bought a four-wheel-drive Suzuki Vitara SUV for his confectionery business. The price of…

A: Price of Veichle is $6,500,000 Down payment of $2,500,000 Interest rate is 12% Time period is 5…

Q: Starting on July 1, 2000, Peter borrows $8,400.00 each year for 4 years from his dear Aunt May to…

A: Loan amount = $8,4000 Time period = 4 years Interest = 9% compounded semi-annually  Installment = 20…

Q: Thomas is planning to withdraw $7000 from a savings account at the end of each quarter for three…

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

Q: While Mary Corens was a student at the University of Tennessee, she borrowed $11,000 in student…

A: Present Value of annuity refers to the present value of all the future payments of and series of…

Q: William recently graduated from NFA University. While at NFA, William took out 4-23 a $50,000…

A:

Q: ictor received an 8-year subsidized student loan of $22,000 at an annual interest rate of 4.85%. If…

A: The question gives the following information:

Q: A lump-sum loan of $5,000 is needed by Chandra to pay for college expenses. She has obtained small…

A: Interest on the loan is the excess money paid along with the principal every year or in a lump sum…

Q: Liam is 1 years old and Tilly is 5 years old Both children will start college when they turn 18.…

A: given, Liam is 1 year old ans after 17 years liam will go to college tuition fee = £15,000 per year…

Q: 1. Jefferson and Rio Morales are trying to decide on an account to help save for college for their…

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

Q: Mary, a college student, needs to borrow $8,000 today for her tuition. She agrees to pay back the…

A: This question is about calculating the future value. Formula: Future value = Initial amount*(1+…

Q: Bridgit has purchased a new home at auction for $655,000. To be able to pay for the house, she takes…

A:

Q: A local firm sponsors a student loan program for the children of employees.No interest is charged…

A: Internal Rate of return- Internal Rate of Return is a discount rate that makes the net present value…

Q: 7. When she was 4 years old, Jane's parents set up an annuity for her college education, with the…

A: Annuity refers to series of annual payment which is paid or received at start or ending of specific…

Q: what was Joe's initial investment assuming the account will be depleted at the end of year 25

A: Time value of money means that the rupee that received today will be worth more than the money…

Q: Assume today is 1 September, and this is the birthday of your two children, Ashley and Alex. Ashley…

A: Annuity refers to series of equalized payments that are paid or received at start or ending of…

Q: Robin has taken out a loan for $485,000 from Mammon Financial, Inc. that provides pay off the…

A: in this problem we have to find out present value FACTOR and from that we can find out period…

Q: While Mary Corens was a student at the University of Tennessee, she borrowed $15,000 in student…

A: Using excel NPER function

Q: When Mary had 4 years left in college, she took out a student loan for $15,110. The loan has an…

A: Loan Amount = 15,110 Time Period in college = T = 4 years Time Period for loan repayment = N = 36…

Q: 6. Mahmoud has to pay three equal payments of $50,000 for a house he is buying, The payments are at…

A: In this problem we have calculate present value of all payments and remaining payments.

Q: Andrew just bought a new boat for $15,000 to use on the river near his home. He has taken delivery…

A: A balloon loan is a loan which is paid off with a large single, final payment. It involves making…

Q: How much will Lana have in that account at the end of 8th year?

A: In this case Lana is saving $2,000 at beginning of each year and thus to calculate the amount at end…

Q: a) What is the present value of the tuition fees that you will have to pay for Tom? b) What is the…

A: a) Years till Tom goes to college = 18 - 4 = 14 yearsAnnual fees paid = 15,000Years in college =…

Q: A self employed individual, Jimmy Carpenter, is opening a retirement account at a bank. His goal is…

A:

Q: 9)Jamie and Jake each recently bought a different new car. Both received a loan from a local bank.…

A: The present value of the loan will be calculated b y discounting all the future installments.

Q: Chuck Ponzi has talked an elderly woman into loaning him ​$35,000 for a new business venture. She​…

A: Interest-only is the method of repayment of loan under which only interest is paid every year and…

Q: kyle has a $15,000 in college debt when he graduates. he will pay it back with regular monthly…

A: Given: Present value =PV = $15,000 Monthly payment = PMT = $283.07 Years = 5 Periods = NPER = 5*12 =…

Q: Today is 1 September, and this is the birthday of your two children, Tom and Lilly. Tom is 1 year…

A: A financial measurement that calculates the worth of a potential sum of money or stream of payments…

Q: Jack and Laurie Worthington bought a house for $162,400. They put 10% down, borrowed 80% from their…

A: Cost of the house = $162,400 Down payment = 10%  Borrowed amount = 80%  Time period = 30 years

Cost of Credit

The cost of credit is an extra amount that the borrower has to pay besides the loan amount. These credit charges may vary from loan to loan. The cost of credit includes interest charges, maintenance charges, and arrangement charges. Some of the costs are mandatorily collected by the lender based on the loan amount and tenure of the loan. The cost of credit is also called finance charges of the credit.