Eleven months after borrowing money, Dorah pays an interest of ₱2,800. How much did she borrow if the simple interest rate was 11 and (1/3)% ?

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

A:

Q: Imelda took a loan of Php 950,000 from a financial institution to purchase a TV. If the company…

A: Compound Interest is also called interest on interest. It is the addition of interest in the…

Q: Reena took a loan of 1200 with simple interest for as many years as the rate of interest. If she…

A: Loan amount= 1200 Interest amount= 432 Rate of interest=?

Q: Mary Toy borrowed $3,000 from her parents and repaid them $3,120 after 9 months. What simple…

A: Formula to calculate r under simple interest is: R = I/PT Where r is the rate of interest, I is the…

Q: Greg owes two debt payments – a payment of $5316 that was due in 13 months ago and a payment of…

A: The date at which values of all payments are calculated by compounding past and discounting future…

Q: Cardo borrowed money from a local cooperative. He received P18,420 but promised to pay P20,000 in…

A: Present Value = 18,420 Future Value = 20,000

Q: Joshua borrowed $800 for one year and paid $40 in interest. The bank charged him a service charge of…

A: Annual Percentage Rate (APR) is the actual annual cost incurred by the borrower on the amount…

Q: On January 4,2016, Minggun, borrowed P24,000 and promised to pay the principal and the interest at…

A: The given problem can be solved using FV function in excel. FV function computes outstanding loan…

Q: Rahma borrowed OMR 600 at the rate of 12% from Bank Dhofar for 6 years. Find the interest she will…

A: Given taht, Loan amount = OMR600 Rate of interest = 12% Number of year for which loan has taken =…

Q: Grace borrowed P150,000 payable in 2 years. To repay the loan, she must pay an amount every month…

A: The PMT function is a type of financial function which helps to determine the total monthly payment…

Q: Rosel applied for a cash loan with an amount of P100,000.00 to be paid using ordinary simple…

A: Loan amount (L) = P 100000 Simple interest rate (r) = 6.5% n = 2 years 5 months = 29 months

Q: Caridad borrowed $17,500 at 11% ordinary interest for 160 days. After 60 days, she made a partial…

A: The final amount is computed by adding the loan amount and interest due and then subtracting the…

Q: Sarah needs RM 2,500 to pay for the deposit for her new car. How much should she borrow from her…

A: Let the amount to be borrowed = X n = 9 months = 0.75 years Discount rate (d) = 10%

Q: Salma borrowed $600from a bank for 2 years and was charged simple interest. The total interest that…

A: The annual interest rate on the loan is calculated using the simple interest formula given as below:…

Q: Ken is paying P2,500 every 3 months for the amount he borrowed at an interest rate of 8% compounded…

A: Answer: Calculation of the amount that Ken borrowed: The amount that Ken borrowed will be equal to…

Q: Sara borrows 35,000 at 12% for 9 months on a discounted loan. A. How much is the interest on the…

A: In a discounted loan, the borrower does not make any interest payments. He receives the loan at a…

Q: Nina borrowed money on 31 August and agreed to pay back the loan on 2 November of the same year. If…

A: Solution- Loan taken by Nina=R5000 Date=31st August Rate of Discount=18% Date of Repayment=2nd…

Q: Joella invested RM5,000 in an interest-bearing promissory note earning an 8% annual rate of interest…

A: Following is the answer to the question

Q: katy took out a loan for $12000 over 3 years, if her total loan repayments amounted to $18750,…

A: Given Loan amount = $12000 Loan repayment = $18750

Q: Polly purchased a car. She paid P150,000 as down payment and pays P5,500 at the end of each month…

A: Polly purchased a car and paid ₱ 1,50,000 as the down payment and thereafter pays ₱ 5500 at the end…

Q: Greg owns two debt payments - a payment of $5338 that was due in 11 months ago and a payment of…

A: The concept of the time value of money states that the same amount of money is worth more today than…

Q: Alvin borrows some money at the rate of 6% p.a. for the first two years. He borrows the money at the…

A: Let the amount borrowed = X Interest rate for first 2 years = 6% Interest rate for next 3 years = 9%…

Q: Sixteen Months after borrowing money, Ronron Cayabyab Pays an interest of ₱8,426. How much did he…

A: Simple compound interest calculation is a technique for calculating the portion of interest paid to…

Q: Juan took out a $20,000 loan for 146 days and was charged simple interest. The total interest he…

A: We need to use simple interest formula to solve this problem Simple interest =Principal*Rate*Time

Q: Cardo invested a certain amount at 20% simple interest per year. After 8 years, the interest she…

A: solution concept under simple interest the interest is calculated on the principal amount only .…

Q: Stephanie borrows Php77,000 for 10 months at an interest rate of 12% per year. Find the interest…

A: Interest earned refers to the product of amount invested/borrowed, time period and interest rate.

Q: Ahmed Yehda borrowed $8,000, signing a promissory note for 2.5 years at 15% interest. What was the…

A: Promissory note is one of the ways to borrow the amount for a particular period and specific amount…

Q: Mariah applied for a loan in a bank that gave 10, 000 pesos monthly payment for 2 years. The first…

A: The present value of an annuity is the current value of the future payments that are calculated…

Q: Miss Evilla borrowed money from a bank. She receives from the bank P1,340.00 and promised to pay…

A: Banker's discount is the discount amount calculated on the future value of payable.

Q: As Kate borrowed an amount of 15,000 Php from a lending company that charges a simple interest rate…

A: Borrowed amount = 15000 Php Simple interest rate = 11%

Q: Kween Yazmine's mother borrowed Php35,000 to fix their car. The bank charges 5% interest for two…

A: Borrowed amount (PV) = Php 35,000 Interest rate (r) = 5% Period (n) = 2 Years

Q: Lucas made a single deposit into a savings account. At the end of saving for 18 years, Lucas has…

A: We need to use continuous compounding formula to solve this problem   A=P(e)rn   where   A=future…

Q: Lawrence borrowed some money 5 years ago at 15% interest compounded semiannually. He paid Php 6,700…

A: Interest means the extra amount which we received because of investment made and will be paid in…

Q: On the 7th birthday of Kim, her mother deposited an amount in a bank peso bond fund that pays 1%…

A:

Q: Lamis borrowed OMR 10,000 from Bank Muscat with an interest rate of 5% for 3 years. The amount she…

A: The amount that has to pay after three years is the sum of principal and compound interest on the…

Q: How much must Riley have in the account for Scott to receive the $220 payments for 5 years? If Riley…

A: A stream of equal cash flows paid or received periodically is termed as annuity. Annuity is either…

Q: Suzanne borrowed a certain amount of money at an annual simple interest rate of 3.4%. If she…

A: The interest amount can be calculated with the help of simple interest function

Q: Rita borrowed $4000 from a bank for 5 years and was charged simple interest. The total interest that…

A: Loan amount = $ 4,000 Period = 5 Years Interest amount = $ 1,600

Q: Carol borrowed $5,200 and signed a straight note with an interest rate of 7% per annum. If she paid…

A: A straight promissory note can be defined as that note which does not require periodic payments over…

Q: How much money did he borrow if the interest is 8% compounded quarterly ?

A: Principal amount is the amount initially invested in a deposit account or the net amount borrowed by…

Q: Ericson deposited PhP 35,000 into his savings account that earns 4% interest. How much will he have…

A: Interest is calculated by multiplying the principal and rate by the time period.

Q: Melanie invests a total of $7,000 in two accounts paying 6% and 7% annual interest, respectively.…

A: A given sum of money can be invested in various sources to achieve maximum returns.

Q: b) Ameena borrowed a certain sum of money from a financial institution that charged 4.5% compounded…

A: Monthly payment (a) = RM725 Monthly interest rate (r) = 0.00375 (i.e. 0.045 / 12) Monthly period (n)…

Q: Kim deposits 4,700 pesos into an account earning 1.25% intererst per annually. How much money will…

A: We need to use simple interest  formula given below Simple interest =Principal*Rate*Time

Q: Mrs. Pores invested P150,000 in a bank that pays an 13% interest converted monthly. If her account…

A:

Q: Marlon borrowed 15,000 Php from a lending company that charges a simple interest rate of 11%.…

A: Borrowed amount = 15000 Php. Interest rate = 11%

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: Mr. Nadeem owes a total of $3,060 which includes 12% interest for the three years he borrowed the…

A: Following details are given in the question: Money to be returned after 3 years (Future value) =…

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.