Determine the monthly payment for the installment loan.Number ofAnnualPercentagePayments per Time inYear (n)Years (t)122AmountFinanced (P) Rate (r)$9509%Click the icon to view the partial APR table.The monthly payment is $(Round to the nearest cent as needed.)▪▪▪ Finance RatesNumber ofpayments6121824303648604.0% 4.5%2.644.943.205.5% 6.0% 6.5% 7.0% 7.5% 8.0% 8.5%(Finance charge per $100 of amount financed)1.17 1.32 1.46 1.61 1.76 1.90 2.05 2.20 2.35 2.492.18 2.45 2.73 3.00 3.283.56 3.83 4.11 4.39 4.663.60 4.00 4.41 4.825.22 5.63 6.04 6.45 6.86 7.284.22 4.75 5.29 5.83 6.37 6.91 7.45 8.00 8.545.25 5.92 6.59 7.26 7.948.619.30 9.98 10.66 11.35 12.04 12.74 13.436.29 7.09 7.90 8.71 9.52 10.34 11.16 11.98 12.81 13.64 14.48 15.32 16.168.38 9.46 10.54 11.63 12.73 13.83 14.94 16.06 17.18 18.31 19.45 20.59 21.7410.50 11.86 13.23 14.61 16.00 17.40 18.81 20.23 21.66 23.10 24.55 26.01 27.489.09 9.64 10.19 10.75Annual Percentage Rate Table for Monthly Payment PlansAnnual Percentage Rate5.0%PrintDone9.0% 9.5% 10.0%2.79 2.935.225.507.698.10- X

Present value The current value of an investment in the market is known as its present value. The…

Answered: Determine the monthly payment for the…

Pfin (with Mindtap, 1 Term Printed Access Card) (mindtap Course List)

7th Edition

ISBN:9780357033609

Author:Randall Billingsley, Lawrence J. Gitman, Michael D. Joehnk

Publisher:Randall Billingsley, Lawrence J. Gitman, Michael D. Joehnk

Chapter7: Using Consumer Loans

Section: Chapter Questions

Problem 6FPE

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Similar questions

Calculating interest and APR of installment loan. Assuming that interest is the only finance charge, how much interest would be paid on a 5,000 installment loan to be repaid in 36 monthly installments of 166.10? What is the APR on this loan?
A customer takes out a loan of $130,000 on January 1, with a maturity date of 36 months, and an annual interest rate of 11%. If 6 months have passed since note establishment, what would be the recorded interest figure at that time? A. $7,150 B. $65,000 C. $14,300 D. $2,383
Marathon Peanuts converts a $130,000 account payable into a short-term note payable, with an annual interest rate of 6%, and payable in four months. How much interest will Marathon Peanuts owe at the end of four months? A. $2,600 B. $7,800 C. $137,800 D. $132,600
Value of an Annuity Using the appropriate tables, solve each of the following. Required: 1. Beginning December 31, 2020, 5 equal withdrawals are to be made. Determine the equal annual withdrawals if 30,000 is invested at 10% interest compounded annually on December 31, 2019. 2. Ten payments of 3,000 are due at annual intervals beginning June 30, 2020. What amount will be accepted in cancellation of this series of payments on June 30, 2019, assuming a discount rate of 14% compounded annually? 3. Ten payments of 2,000 are due at annual intervals beginning December 31, 2019. What amount will be accepted in cancellation of this series of payments on January 1, 2019, assuming a discount rate of 12% compounded annually?
Calculating and comparing add-on and simple interest loans. Eli Nelson is borrowing 10,000 for five years at 7 percent. Payments, which are made on a monthly basis, are determined using the add-on method. a. How much total interest will Eli pay on the loan if it is held for the full five-year term? b. What are Elis monthly payments? c. How much higher are the monthly payments under the add-on method than under the simple interest method?
Cash Flow Amounts R. Lee Rouse borrows 10,000 that is to be repaid in 24 equal monthly installments payable at the end of each subsequent month with interest at the rate of 1% per month. Required: Using the appropriate table, calculate the equal installments.
Jain Enterprises honors a short-term note payable. Principal on the note is $425,000, with an annual interest rate of 3.5%, due in 6 months. What journal entry is created when Jain honors the note?
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Determine the monthly payment for the installment loan. Annual Number of Percentage Payments per Time in Year (n) Years (t) 12 2 Amount Financed (P) Rate (r) 9% $950 Click the icon to view the partial APR table. The monthly payment is $. (Round to the nearest cent as needed.)