Find the APR (true annual interest rate), to the nearest half percent, for the following loan. Number of Monthly Payments Amount Financed $4800 Finance Charge $935 48 Click the icon to view the annual percentage rate table. The annual percentage rate is %.
Find the APR (true annual interest rate), to the nearest half percent, for the following loan. Number of Monthly Payments Amount Financed $4800 Finance Charge $935 48 Click the icon to view the annual percentage rate table. The annual percentage rate is %.
Chapter4: Time Value Of Money
Section: Chapter Questions
Problem 22PROB
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Transcribed Image Text:Find the APR (true annual interest rate), to the nearest half percent, for the following loan.
Finance
Number of
Monthly Payments
Charge
$935
Amount
Financed
$4800
48
Click the icon to view the annual percentage rate table.
The annual percentage rate is %.
Transcribed Image Text:APR Table
Number of
Monthly
Payments (n)
6
12
18
24
30
36
48
60
4.0%
4.5%
1.17
2.18 2.45
3.20
4.22
5.25
6.29
TH
8.38
10.50
5.0%
5.5%
H
Annual Percentage Rate (APR) for Monthly Payment Loans
6.0%
1.32 1.46
1.61
1.76
2.73
3.00
3.28
3.60 4.00
4.82
4.41
4.75 5.29
5.83
6.37
5.92
6.59
7.29
7.94
7.09
8.71
7.90
9.52
10.54
9.46
11.86
13.23
3.08 3.23 3.38
6.34
9.35
Annual Percentage Rate (APR)
8.5% 9.0%
9.5% 10.0% 10.5% 11.0% 11.5% 12.0%
7.0% 7.5% 8.0%
6.5%
Finance Charge per $100 of Amount Financed (h)
2.94
2.79
2.49 2.64
2.35
2.20
1.90 2.05
5.78 6.06
5.50
5.22
4.66 4.94
4.39
4.11
3.56 3.83
8.10
8.93
8.52
7.69
7.28
6.86
6.04 6.45
11.30
10.75
11.86
10.19
9.64
9.09
14.83 15.54
12.74 13.43 14.13
11.35 12.04
18.71
17.86
17.01
16.16
13.64 14.48 15.32
10.34
19.45 20.59
17.18 18.31
16.06
14.94
13.83
17.40 18.81 20.23 21.66 23.10 24.55 26.01
5.22
5.63
6.91
7.45
12.42
8.00
8.61
8.55
10.66
11.16 11.98 12.81
9.30
9.98
22.90 24.06 25.23
21.74
27.48
28.96 30.45 31.96
12.73
11.63
16.00
14.61
3.53
6.62
9.77
12.98
16.24
19.57
26.40
33.47
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