Jackson has a loan that requires a $16,600 lump sum payment at the end of four years. The interest rate on the loan is 5%, compounded annually. How much did Jackson borrow today?

Q: Juan deposits $5,000 into a savings account that pays 7.2% per year, continuously compounded. What…

A: The real interest that an investor earns on the investment and a borrower pays on loan after…

Q: Daniel deposits $20,000 into an account earning interest at 6% per year compounded quarterly. He…

A: A theory that helps to compute the present or future value of the cash flows is term as the TVM…

Q: While Mary Corens was a student at the University of Tennessee, she borrowed $20,000 in student…

A: To know period we have to calculating present value FACTOR annuity and depending on value and…

Q: Aidan deposits $1000 at the end of each quarter in an account that pays 5.25% per year, compounded…

A: Solution: An equal amount invested every period is called annuity. So, future value of annuity = PMT…

Q: Soledad decides to have P2,100 at the end of each quarter, which is the amount paid into her…

A: Future value of annuity due = P×1+in-1×1+ii Where, P = Quarterly deposit = P2,100 i = Effective…

Q: Jacob needed money for some unexpected expenses, so he borrowed $3,813.23 from a friend and agreed…

A: Borrowings are the liability of the company which is used to finance the requirement of the funds.…

Q: Nick saves $175 per month, deposited directly into his credit union account on payday, the last day…

A: In order to calculate the amount at the end of a specific period of time, the future value of the…

Q: Adriana wishes to accumulate $2,000,000 in 35 years. If 35 end-of-year deposits are made into an…

A: Future value of annuity  =P*[(1+r)^n-1]/r Where, P = annual payment r = rate of interest n = no. of…

Q: John took a personal loan of $100,000 from the bank at a nominal interest rate of 6% per year…

A: Disclaimer: “Since you have asked multiple questions, we will solve the first question for you. If…

Q: Mr. Smith has borrowed $20,000 from the bank to start his small book-keeping business. He has…

A: Using excel RATE function

Q: If Phil borrows $40,000 from a loan company at an interest rate of 6.5% per year compounded weekly,…

A: Here, Loan amount = $40,000 Quarterly payment of the loan = $800 Interest rate = 6.5% compounded…

Q: Whitney deposited $200,000 into a savings account that has an annual interest rate of 8% compunded…

A: Interest is an extra amount which is received or paid on deposited or borrowed amount for the…

Q: Ma. Nochna Pula borrowed $10,000 at 6% annual compound interest. She agreed to repay the loan with…

A: Annual payment can be calculated using the present value of annuity formula. Present value of…

Q: Marcus is expected to settle a loan by paying $6,000. What amount should he pay if he decides to…

A: Present Value refers to the discounted value of a single cash flow or multiple cash flows today…

Q: Jason takes out a loan at 10% compounded annually for 7 years. At the end of this period, he pays…

A: Interest charged on the principal amount and the interest accrued is known as Compound Interest. It…

Q: Johnny has a loan for $50,000 at a rate of i(4) = 8% on which he makes quarterly payments of $2,000.…

A: Amount of deposit every 3 months: $500 starting from today at a rate of interest of 1% effectively.…

Q: Helen is buying a $12,375 car with a $3000 down payment, followed by 36 monthly payments of $325…

A: Given data; Price of car = $ 12,375 down payment = $ 3000 number of payments = 36 monthly payment =…

Q: Sally buys a house. She has limited initial funds, so she agrees to make 360 monthly payments as…

A: Nominal interest rate: It is the rate in which the effect of inflation has not been considered.

Q: John contributes $5,000 per month into an account. How much will he have in the account after 25…

A: In the given question we require to calculate the future value of account after 25 years is john…

Q: Jeffrey received a $32,950 loan from a bank that was charging interest at 5.75% compounded…

A: Amortized Loan:  Amortized loan is a type of loan in which the borrower would pay periodic payments…

Q: Rose, recently purchased a new automobile for $25,000. She made a $5,000 down payment and financed…

A: Using excel PMT function

Q: A man is planning to retire in 20 years. He wishes to deposit a regular amount every three months…

A: Annual payments he will receive = $95000 Time period = 18 years  Interest rate = 8% Compounding =…

Q: Barbara makes four consecutive annual deposits of $2,000 in a savings account that pays interest at…

A: The question gives the following information:

Q: Ali deposits BD 2,500 in a savings account that pays interest at the rate of 5.5% per year,…

A: Amount is the sum of the initial principal amount and interest accumulated on it during the time…

Q: While Kate was a student at SA University, she borrowed $16,000 in student loan at an annual…

A: The concept of the present value implies that the money today is  having more worth  than the money…

Q: John borrows $15000 for 5 years at an annual effective interest rate of %9. At the end of each year…

A: Computation:

Q: When Christian bought his home, he borrowed $315,700 at 4.2% interest, compounded monthly for 25…

A: Loan amount (PV) = $315,700 Interest rate = 4.2% Monthly interest rate (r) = 4.2%/12 = 0.35% Period…

Q: Mason owes $6,700 on his credit card. The bank charges an annual interest rate of 12%, compounded…

A: Amount owes by Mason $6,700 Interest Rate (12% /12) 1% Period  13

Q: Daniel deposits $20,000 into an account earning interest at 6% per year compounded monthly. He…

A: Information Provided: Initial deposit = $20,000 Interest = 6% compounded monthly Withdrawal = $1200…

Q: Joshua borrows 35,000 pesos from a cooperative to buy a laptop. He will repay the loan in equal…

A: Borrowing refers to the act of taking money from another party with known intention to repay that…

Q: Cena deposits a certain amount of money into his family’s savings account at the beginning of each…

A: Future value = $ 100,000 Period = 4 Years Period in quarters = 4*4 = 16 Annual interest rate = 8%…

Q: Jason makes six EOY deposits of $2,000 each in a savings account paying 5% compounded annually. If…

A: The compound interest is calculated on the principal amount annually. It considers the present value…

Q: he annual interest rate on the loan is

A: Interest Rate: It is the rate used to compute the finance charge paid by the borrower for taking a…

Q: Gunther has to pay a loan he took out after a term of 5 years. If the principal amount is at $215…

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

Q: İhsan wants to pay the 50,000 TL loan he received from the bank in annual installments of 2,500 TL…

A: The loan refers to the fund provided by the lender to the borrower at a certain interest rate for a…

Q: Craig is saving for a $3500 sound system. He plans to deposit $175 at the end of every 3 months into…

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

Q: Paul obtains a 30-year loan at an annual 7.4% on a $250,000 house where the required down payment is…

A: Given: Years = 30 Interest rate = 7.4% Cost of house = $250,000 Down payment = 15%

Q: Gilbert got a loan of P100,000 from a local lending agency at 13% compounded annually. Their…

A: We can solve this in excel using the "goal seek" function. First of all make a loan amortization…

Q: Jason received a 10-year non-subsidized loan of $40,000 at an annual interest rate of 6%. What are…

A: Loan amount refers to the amount that is borrowed by the borrower for fixed time period at fixed…

Q: Holden borrows $209,433 from a financial institution with equal end-of-year payments of $24,600. of…

A: Loans are given by the financial institutions to purchase the assets to the customers and the…

Q: kyle has a $15,000 in college debt when he graduates. he will pay it back with regular monthly…

A: Given: Present value =PV = $15,000 Monthly payment = PMT = $283.07 Years = 5 Periods = NPER = 5*12 =…

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: Skylar bought a $270,000.00 house, paying 10% down, and financing the rest at 3% interest for 15…

A: A mortgage is a form of secured loan that is meant to be used to purchase or maintain real estate.…

Q: How much Alex must deposit annually if he wants to have $800,000 in 25 years by making equal annual…

A: Annual payments refers to the periodic payment which can be used for a variety of purposes like for…

Q: In 6 years, Mrs. Fong must pay off a note with a face value of $14,000, and interest of 10% per…

A: Solution: 9   Face value of notes $14,000 Interest rate semiannually (10% / 2) 5% Period (6…