Dick takes a loan of $8,000 to buy a used truck at the rate of 9 % simple Interest. Calculate the annual interest to be paid for the loan amount.

Q: Darla purchased a new car during a special sales promotion by the manufacturer. She secured a loan…

A: loan: It is a type of debt that a person or other institution has incurred.

Q: Sam took a $5000 loan to build a deck in the backyard. The loan requires payments at the end of each…

A: Converting rate of interest from 9% compounded monthly to quarterly   Effective rate of interest =…

Q: Kari is purchasing a home for $260,000. The down payment is 25% and the balance will be financed…

A: Closing cost = Remaining down payment + closing expenses + discount points

Q: Julio buys a koi fish pond (and fish to put in it) for his wife on their anniversary. He pays $8,000…

A: APR refers to Annual Percentage Rate which is the annual rate of interest paid to investors by…

Q: Darla purchased a new car during a special sales promotion by the manufacturer. She secured a loan…

A: A concept that implies the future worth of the money is lower than its current value due to several…

Q: Your father obtained a car loan for ₱800,000 with an annual rate of 15% for 5 years. Direction:…

A: In simple interest the interest is calculated by multiplying the principal with time and interest…

Q: What was Patrick’s monthly payment?

A: Re-payment of loan is a combination of principal loan amount and interest amount.  Loan is paid as…

Q: Blake bought a new car and financed $⁢15,000 to make the purchase. He financed the car for 60 months…

A: A study that proves that the future worth of the money is lower than its current value due to…

Q: Blake bought a new car and financed $⁢15,000 to make the purchase. He financed the car for 48 months…

A: MONTHLY PAYMENT FORMULA: PMT=P×rm1-1+rm-nwhere,p = loan amountr = APRm = frequency of compoundingn =…

Q: Kari is purchasing a home for $260,000. The down payment is 25% and the balance will be financed…

A: Home cost = $260,000 Maturity = 15 years Interest rate = 8% Deposited amount = $20,00 Expenses:…

Q: Jamil is purchasing a new truck and financing $28,000. Jamil will make 60 monthly payments of $541…

A: The additional amount that is paid by the borrower on the borrowed amount is term as the finance…

Q: Chris bought a new car for $12,500. He made a $3,000 down payment and financed the rest at an annual…

A: Loan is an amount that is paid by the lender to the borrower for the certain period of time. The…

Q: the amount financed the finance charge The deferred payment price.

A: Loan amortization refers to a schedule which is prepared to shows the periodic loan payments, amount…

Q: To pay for a  $22,300  truck, Jina made a down payment of  $4900  and took out a loan for the rest.…

A: As per the information provided : Jina to pay $22,300 for a truck. She made a down payment of $4,900…

Q: Jasper purchased a car for 47,500. He paid a 20% down payment and financed the rest at 2.88 % for 6…

A: Loan is a value which is borrowed from the external sources like banks for a particular period and…

Q: Anny takes out an installment loan to finance the purchase of a pickup truck costing $14,700. Her…

A:

Q: Jackson pays $2200 Mortgage Payment, $400 Property tax, $250 Maintenance fees, $100 Heating, $200…

A: GDS  or Gross Debt Service is a metrics used by lender to assess the proportion of housing debt that…

Q: May finances a refrigerator for $1,250 by taking out an installment loan for 48 months. The payments…

A: Given,  The total number of months the payment has been made = 35 Total payment made so far =…

Q: Wilfredo bought a new boat for $21,100. He paid $2,000 for the down payment and financed the rest…

A: Monthly payment The minimum amount required per month to be paid by the person in an account. Note:…

Q: Kari is purchasing a home for $260,000. The down payment is 25% and the balance will be financed…

A: Purchase price of home = $260,000 Down payment = 25%*$260,000 = $65,000 Loan amount = Price of home…

Q: Vivian plans to replace all four air-conditioners in her home. The total cost is $70,000. The loan…

A: Monthly flat rate is 0.8% Administration fee is $250 Down payment is $10,000 Time period is 2 years…

Q: Anny takes out an installment loan to finance the purchase of a pickup truck costing $14,100. Her…

A: given that, cost of pickup truck = $14100 downpayment = 25% montly payments = $281 number of months…

Q: Kari is purchasing a home for $220,000. The down payment is 25% and the balance will be financed…

A: Particulars Amount Down payment amount (220,000*25%) $           55,000 Add :   Financed…

Q: 4 years. His Monthly loan was 23.03. What was the monthly payments and what was the total interest…

A: Loans are to be paid by the monthly payments that carry the payment for interest and payment for…

Q: LaTisha owed $65,000 when she graduated from college. Suppose her 10-year loan had an APR of 4.5%…

A: The total interest spent on loan will be Total interest on loan =Monthly payment*number of periods…

Q: Mr. Joe pays $2068 a month for the loan he took from a bank. If the total payment period is 3 years…

A: Mr. Joe pays monthly loan = $2068 Total payment period = 3 years Interest rate per annum = 29%…

Q: Darla purchased a new car during a special sales promotion by the manufacturer. She secured a loan…

A: Loan is an agreement between lender and borrower where lender agrees to provide funds to borrower.…

Q: Samuel Ng received a 3-year subsidized student loan of $15,000 at an annual interest rate of 4%.…

A: Given that: Loan Amount (A)= $15000 Time(t)= 3 years Number of payments per year (n)= 12 Annual…

Q: a) Find Kareem's monhly payment b) If Kareem pays the monthly payment for each month for the full…

A: Loan (mortgage) amortization schedule refers to a schedule which is prepared to shows the periodic…

Q: Marisol finances a sports car for $27,700 by taking out an installment loan for 36 months. The…

A: Amount financed = $27,700 Number of instalments = 36 Monthly payment = $998.61 Payment made = 21…

Q: Andy wants to buy a car that costs $22,750. The dealership will finance the car for 5 years, at…

A: Loans are the debt obligations of a company that are shown on the liabilities side. These are paid…

Q: Kari is purchasing a home for $260,000. The down payment is 25% and the balance will be financed…

A: Price of Home = $260,000 Down Payment = 25% Down Payment Amount = $65,000 Financed Amount = Loan…

Q: To purchase a car, Sarah took out a 60-month loan for $33,000 with a 7.6% annual interest rate.…

A: If a loan is repaid with regular equal payments, each payment consist principal part and interest…

Q: Mary Smith took a car loan of $20,000 to make 60 equal monthly payments. The interest compounds…

A: Annual worth distributes present worth into equivalent uniform value over its useful life.

Q: Anny takes out an installment loan to finance the purchase of a pickup truck costing $14,300. Her…

A: The present value is the value of the sum received at time 0 or the current period. It is the value…

Q: Taibi Hafid is considering the purchase of a used car. The price, including the title and taxes, is…

A: Loan is an agreement between lender and borrower where lender provide borrower with funds in…

Q: Boyd purchases a snow blower costing $1,752 by taking out a 13.5% add on installment loan. Loan…

A: Finance charge refers to the payment made in addition to the borrowed amount. The finance charge…

Q: car for $18,500. Compare the two loan offers by finding the monthly payments for each and…

A: Loans are to be paid equal monthly payment that carry the payment for interest and payment for…

Q: Assuming that each loan would be amortized by 36 equal monthly installments, determine the amount of…

A: Interest is the amount paid in proportion to the amount of loan taken or the deposit. It is the…

Q: Kari is purchasing a home for $220,000. The down payment is 25% and the balance will be financed…

A: Down payment is part of the purchase price or the cost of house. Closing costs generally refer to…

Q: Samuel Ng received a 3-year subsidized student loan of $12,000 at an annual interest rate of 5%.…

A: Computation of monthly loan payments:

Q: Sebastian checks Daniel’s credit rating and determines that he will qualify for a 4% auto loan, and…

A: Cost of the car = $39,900 Trade-in Value = $8,500 Loan Amount = $39,900-$8,500 = $31,400 Years = 4…

Q: Michelle Passmore is purchasing a $25,000 automobile, which is to be paid for in 60 monthly…

A: A loan is an agreement between two parties where a sum is forwarded in exchange for periodic…

Q: Kari is purchasing a home for $260,000. The down payment is 25% and the balance will be financed…

A: Closing cost: it's a cost or expenses which is related to real estate. a charges or expenses paid…

Q: n payment and 15,000 every month. If the payments are based on 7% compounded quarterly what is the…

A: Given information :   Down payment  $        99,000.00 Periodic payment 15000 Interest rate…

Q: interest installment loan from his credit union. The purchase price was $1,950. The credit union…

A: The minimum monthly payment on a revolving credit account is the minimal amount a customer may pay…

Q: Sun Jung finances a sofa for $1,125 by taking out an installment loan for 60 months. The payments…

A: Computation:

Q: Mr. So borrowed Php200,000 from a cooperative that charges 15% yearly. He used the loan to start his…

A: The amount to be paid after 18 months can be calculated as the future value of loan.  Given, Present…

Q: Kari is purchasing a home for $220,000. The down payment is 25% and the balance will be financed…

A: When a buyer pays for expenses over the purchase price of the asset is known as the closing price.…

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.