P.Use PMT-to determine the regular payment amount, rounded to the nearest dollar. Your credit card has a balance of1-1+$6100 and an annual interest rate of 19%. With no further purchases charged to the card and the balance being paid off over five years.the monthly payment is $158, and the total interest paid is $3380. You can get a bank loan at 11.5% with a term of six years. Completeparts (a) and (b) below.a. How much will you pay each month? How does this compare with the credit-card payment each mont? Select the corect dchoice belowand fil in the answer boxes to complete your choice.(Do not round until the final answer. Then round to the nearest dollar as needed.)OA The monthly payments for the bank loan are approximately SThis is S more than the monthly credit-card payments.OB. The monthly payments for the bank loan are approximately SThis is $less than the monthly credit-card payments.b. How much total interest will you pay? How does this compare with the total credit-card interest? Select the corect choice below and filin the answer boxes to complete your choice(Use the answer from part a to find this answer. Round to the nearest dollar as needed.)OA The total interest paid over 6 years for the bank loan is approximately $This is Smore than the total credit-card interest.This is $less than the total credit-card interestOB. The total interest paid over 6 years for the bank loan is approximately $

Loan amount (P) = $6100 Interest rate (r) = 11.5% n = Payment frequency = 12 (r/n) = 0.95833% t = 6…

a. How much will you pay each month? How does this compare with the credit-card payment each mont? Select the corect choice below and fil in the answer boxes to complete your choice (Do not round unt the final answer. Then round to the nearest dollar as needed.) OA The monthly payments for the bank loan are approximately $ This is $ more than the monthly credt-card payments OB. The monthly payments for the bank loan are approximately s This is less than the monthly credit-card payments. b. How much total interest will you pay? How does this compare with the total credit card interest? Select the conect choice below and n in the answer boxes to complete your e (Use the answer from part a to find this answer. Round to the nearest dollar as needed.) r choice This is $ more than the total credit-card interest OA The total interest paid over 6 years for the bank loan is approximately $ This is $ less than the total credt-card interest OB. The total interest paid over 6 years for the bank loan is approximately $

a. How much will you pay each month? How does this compare with the credit-card payment each mont? Select the corect choice below and fil in the answer boxes to complete your choice (Do not round unt the final answer. Then round to the nearest dollar as needed.) OA The monthly payments for the bank loan are approximately $ This is $ more than the monthly credt-card payments OB. The monthly payments for the bank loan are approximately s This is less than the monthly credit-card payments. b. How much total interest will you pay? How does this compare with the total credit card interest? Select the conect choice below and n in the answer boxes to complete your e (Use the answer from part a to find this answer. Round to the nearest dollar as needed.) r choice This is $ more than the total credit-card interest OA The total interest paid over 6 years for the bank loan is approximately $ This is $ less than the total credt-card interest OB. The total interest paid over 6 years for the bank loan is approximately $

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter19: Lease And Intermediate-term Financing

Section: Chapter Questions

Problem 17P

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