solve asap the question (d) with complete explanation and get upvotes This problem is a complex financial problem that requires several skills, perhaps some from previous sections.During four years of college, Nolan MacGregor's student loans are $4000, $3500, $4400, and $5000 for freshman year through senioryear, respectively. Each loan amount gathers interest of 1.3%, compounded quarterly, while Nolan is in school and 3%, compoundedquarterly, during a 6-month grace period after graduation.(a) What is the loan balance after the grace period? Assume the freshman year loan earns 1.3% interest for 3/4 year during thefirst year, then for 3 full years until graduation. Make similar assumptions for the loans for the other years. (Round your answerto the nearest cent.)(b) After the grace period, the loan is amortized over the next 10 years at 3%, compounded quarterly. Find the quarterlypayment. (Round your answer to the nearest cent.)(c) If Nolan decides to pay an additional $40 per payment, how many payments will amortize the debt? (Round your answer upto the next whole number.)quarters(d) How much will Nolan save by paying the extra $40 with the number of payments from part (c)? (Round your answer to thenearest cent.)

Given, In this question, we have to solve the savings for Nolan, As, he is paying an additional…

Answered: (d) How much will Nolan save by paying…

(d) How much will Nolan save by paying the extra $40 with the number of payments from part (c)? (Round your answer to the nearest cent.) $

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Concept explainers

Real Estate

Real estate means ownership of land along with the assets and natural resources that exist on the land. These properties are in real/physical form which is tangible. Real estate simply means land or addition made to land permanently like constructing a residence or different buildings. People invest in real estate to either reside or for wealth creation. Many people investing in real estate further lend the place for occupation or businesses in return for a monthly payment.

Question

solve asap the question (d) with complete explanation and get upvotes

This problem is a complex financial problem that requires several skills, perhaps some from previous sections.
During four years of college, Nolan MacGregor's student loans are $4000, $3500, $4400, and $5000 for freshman year through senior
year, respectively. Each loan amount gathers interest of 1.3%, compounded quarterly, while Nolan is in school and 3%, compounded
quarterly, during a 6-month grace period after graduation.
(a) What is the loan balance after the grace period? Assume the freshman year loan earns 1.3% interest for 3/4 year during the
first year, then for 3 full years until graduation. Make similar assumptions for the loans for the other years. (Round your answer
to the nearest cent.)
(b) After the grace period, the loan is amortized over the next 10 years at 3%, compounded quarterly. Find the quarterly
payment. (Round your answer to the nearest cent.)
(c) If Nolan decides to pay an additional $40 per payment, how many payments will amortize the debt? (Round your answer up
to the next whole number.)
quarters
(d) How much will Nolan save by paying the extra $40 with the number of payments from part (c)? (Round your answer to the
nearest cent.)

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