Q: Debby Robinson borrows $10,000 to be repaid over 10 years with equal annual payments at 9%.…
A: A loan amortization schedule is the schedule of repayment of a loan with a bifurcation of interest…
Q: A man paid a 10% down payment of 200,000 for a house and lot and agreed to pay the balance on…
A: Cost of house = 200,000 Down payment ratio = 10% Loan amount (PV) = Cost*(1-Down payment ratio)…
Q: Nicole loans P900,000 from bank today which gives her 10% interest rate compounded annually. Based…
A: Loan amount (L) = P 900000 r = 10% n = 10 payments Let the annual payment = A
Q: A mother borrowed 169,908 with 0.07 compounded monthly and promised to pay the amount by 19 equal…
A: Present value of annuity due The present value of annuity due is applied to find out the value of an…
Q: Mrs. Kinton borrowed $35,000 to be repaid in 3 equal semi-annual payments. If the interest is 8%…
A: Solution: Amount borrowed = $35,000 Semiannual interest rate = 8%/2 = 4% Nos of semiannual…
Q: Juan borrows $25,000 at 7% compounded annually. If the loan is repaid in five equal annual payments,…
A: What are installments? Installment is the sum of money to be paid in a particular time frame to pay…
Q: An aunty deposits $10,000 into an account earning 2% p.a. pounded quarterly. She wants a total of 20…
A: An annuity depicts a stream of equivalent periodic cash flows for a specific duration. annuities can…
Q: A mother borrowed 137,254 with 0.09 interest monthly and promised to pay the amount by 17 equal…
A: Monthly Payment refers to the amount of instalment or payment which is being paid each month for a…
Q: Andy borrowed P20,000 with interest at 4% compounded quarterly. He agreed to pay P1,500 at the end…
A: Given: Loan =P20,000 Interest rate = 4% compounded quarterly So, quarterly rate = 0.04/4 =1%…
Q: A mother borrowed P200.000 with 2% interest monthly and promised to pay the amount in 30 equal…
A: EMI or Equated monthly installment is an arrangement entered between the lending institution and the…
Q: Gladys borrows ₱ 400,000.00 at an interest rate of 4% per year compounded semi- annually. She agreed…
A: Value after 2 years FV = PV* (1 + r / n)nt Where, PV = Present value FV = Future value r = Rate…
Q: In the situation where Ahmad are depositing $1,000 per month in a savings account that pays 6…
A: Payment period is the no. of times money is deposited in a year. compounding period is the no. of…
Q: A man deposits her annual bonus into a savings account that pays 8% interest compoundedannually. The…
A: In this question we need to calculate the amount in the saving account immediately after the fifth…
Q: A couple who borrow $70,000 for 15 years at 6%, compounded monthly, must make monthly payments of…
A: Given: Monthly payment = $590.70 Loan = $70,000 Years = 15 Interest rate = 6%
Q: A couple who borrow $80,000 for 15 years at 7.2%, compounded monthly, must make monthly payments of…
A: A loan is a financial arrangement in which one or more people, companies, or other entities lend…
Q: How much will be owed at the end of 5 years?
A: Time value of money means the amount of received in the present period will have more value than…
Q: A man borrowed $300,000 from a finance company that charges interest at 16% compounded…
A: Amount borrowed is $300,000. Interest rate 16%. Term of loan payment 12.
Q: MARIA LOANED AN AMOUNT OF P100,00.00 PAYABLE IN 15 EQUAL QUARTERLY INSTALLMENTS THE FIRST PAYMENT…
A: Loan Amount = P100,000 Time Period = 15 Quarters Interest Rate = 10% compounded bi-monthly
Q: Tedros borrowed $2 million and planned to repay the loan by making equal month-end payments over a…
A:
Q: Matt borrowed $23,000 at 5.5% compounded semi-annually. If the loan is to be repaid in equal…
A: Loan is contract between lender and borrower where lender provide funds to borrower that is repaid…
Q: A man borrowed P 150,000.00 from the bank payable on the 1st day of every month for 2 years. If he…
A: An interest rate is a rate that is the cost of borrowing money.
Q: Brian received a loan of $30,000 at 6.75% compounded monthly. She had to make payments at the end of…
A: monthly payment formula=p×rm1-1+rm-m×n where, P=principal r=rate of interest m=frequency of…
Q: A man paid 10% down payment of P200,000 for a house and lot and agreed to pay the 90% balance on…
A: We need to use the following formula to calculate monthly payment PMT =PV*i1-1(1+i)n where…
Q: To help finance the purchase of a house and lot, a couple borrows P350,000. The loan is to be repaid…
A: Given Information : Amount borrowed = P350,000 Number of years = 8 Annual interest rate = 15%
Q: Tedros borrowed $2 million and planned to repay the loan by making equal month-end payments over a…
A: Time value of money(TVM) means that the money received today will be worth more than the amount of…
Q: Jane bought a $3,000 audio system and agreed to pay for the purchase in 10 equal annual installments…
A: Compute the amount of the annual installment. Amount to be borrowed is $3,000, Rate of interest is…
Q: Tedros borrowed $2 million and planned to repay the loan by making equal month-end payments over a…
A: Present value of all the monthly installments should be equal to the loan amount. Equated monthly…
Q: A mother borrowed 180,378 with 0.09 compounded monthly and promised to pay the amount by 20 equal…
A: The monthly payment can be calculated by using the present value of annuity function
Q: To help finance the purchase of a house and lot , a couple borrows P350,000. The loan is to be…
A: The interest rate is the proportion of a loan that is charged as interest to the borrower. It is the…
Q: On December 31, Son-Nan Chen borrowed $100,000, agreeing to repay this sum in 20 equal annual…
A: The PMT function is a type of financial function which helps to determine the total monthly payment…
Q: A mother borrowed 244,635 with 0.14 compounded semi - annually and promised to pay the amount by 8…
A: Present value of annuity due Present value of annuity due is applied to find out the value of an…
Q: Catherine obtained a loan of $40,000 at 4.5% compounded monthly. How long (rounded up to the next…
A: Solution:- When a loan is taken, the borrower is given the option whether to repay it in…
Q: Janie Curtis borrowed $25,000 from a bank at an interest rate of 12% compounded monthly. This loan…
A: The present value of the annuity is the current worth of a cash flow series at a certain rate of…
Q: Maria loaned an amount of 100,000 in payable in 15 equals installments. The first payment was made a…
A: The present value of loan is equal to the present value of all the future installments discounted at…
Q: ) Bianca takes out a 23-year home loan of $750,000 at the interest rate of 3% p.a. compounded…
A: Given: Particulars Amount Borrowed(PV) $750,000 Years 23 Interest rate 3.00%
Q: Yukihira paid a 10% down payment of P200,000 for a restaurant and agreed to pay the balance of…
A: Payment per period can be calculated using PMT function in excel. PMT(rate, nper, pv, [fv],…
Q: Jason's loan for $8500.00 is repaid by equal payments of $525.00 that are made at the end of every…
A: The formula for effective rate is: i=q1+rmmq-1Where, q is the new compounding and m is the old…
Q: Clay Harden borrowed $25,000 from a bankat an interest rate of 9% compounded monthly. Theloan will…
A: When a loan is repaid by regular equal payments, each payment includes an interest part and a…
Q: Layla puts PhP 45,000 into an account to use for future expenses. The account earns 13%, compounded…
A: Deposit amount (PV) = Php 45,000 Annual interest rate = 13% Interest rate quarterly (R) = 13%/4 =…
Q: Marissa converted an RRSP balance of $125,000 into an RRIF that will pay he $1,850 at the end of…
A: Future Value: The future value is the amount that will be received at the end of a certain period.…
Q: Lina borrowed 5000 at 8% compunded monthly. She must begin to repay it at the end of this month and…
A: Ordinary annuity refers to the series of periodic payments that a borrower has to make regularly to…
Q: Timmy borrows $10,000 and agree to make annual payments for five years (beginning one year after…
A: Present value denotes the present worth of money by discounting the future cash flows whereas future…
Q: At the end of each quarter, a life insurance client deposits Ph 6,366 for 5 years. If money is worth…
A: Solution:- When an equal amount is deposited each period at end of period, it is called ordinary…
Q: Beatrice deposits $75 at the end of each month into an account earning 4.75% compounded monthly. How…
A: Compound interest refers to the interest accrued not only on principal amount but also on the…
Q: Jane bought a $3,000 audio system and agreed to pay for the purchase by making nine equal annual…
A:
Q: Lea buys a sala set. She pays P2, 500 down payment and pays P1, 200 per month for 2 years. If…
A: Cash equivalent of Sala set = Down Payment + Monthly installments
Q: In 5 years a couple would like to have $25,000 for a down payment on a house. What fixed amount…
A: Given: Accumulated amount (A)=$25000compound interest rate (r)=9%No. of times compounded in a year…
Q: Ashley borrows Php.75,000 from Stella with interest at 6% compounded quarterly. She agrees to pay…
A: Loan amount (PV) = Php. 75000 First payment period = 3 Years First payment quarterly period (t) =…
A mother borrowed P200,000 with 2% interest monthly and promised to pay the amount by 30 equal monthly installments which will start at the beginning of each period. Determine the monthly payment.
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- Samuel Ames owes 20,000 to a friend. He wants to know how much he would have to pay if he paid the debt in 3 annual installments at the end of each year, which would include interest at 14%. Draw a time line for the problem. Indicate what table to use. Look up the table value and place it in a brief formula. Solve.If Bergen Air Systems takes out a $100,000 loan, with eight equal principal payments due over the next eight years, how much will be accounted for as a current portion of a noncurrent note payable each year?Next Level Potter wishes to deposit a sum that at 12% interest, compounded semiannually, will permit 2 withdrawals: 40,000 at the end of 4 years and 50,000 at the end of 10 years. Analyze the problem to determine the required deposit, stating the procedure to follow and the tables to use in developing the solution.
- Halep Inc. borrowed $30,000 from Davis Bank and signed a 4-year note payable stating the interest rate was 4% compounded annually. Halep Inc. will make payments of $8,264.70 at the end of each year. Prepare an amortization table showing the principal and interest in each payment.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?