Maricar bought a split type inverter aircon which costs P33,500 in an installment basis . How much is the interest rate per year if the total amount to be paid by her after 2 years is P44,220?

Q: While buying a new car, David made a down payment of $800 and agreed to month-end payments of $280…

A: The loans are paid by the equal monthly installments that carry the payment for interest and payment…

Q: Your sister bought a condominium unit for P9 300 000 through a condominium loan which she availed of…

A: Price of P9 is 300000 interest 8% for 10 years  Required equity 30%

Q: A housewife bought a brand new washing machine costing P12,000 if paid in cash. However, she can…

A: Present value of annuity due can be used to calculate the periodic payment.

Q: Margo borrows $900, agreeing to pay it back with 4% annual interest after 14 months. How much…

A: The amount borrowed is recorded as principal amount and extra amount paid to pay off the loan at…

Q: Hanna invests $8400 for 8 years and 10 months. The account earns 5% semiannually. What is n for the…

A: Basic Details: Investment = $8400 Time = 8 Years and 10 Months Interest = 5% semi Annually

Q: Rachael invests $8000 for 7 years and 8 months. The account earns 12% semiannually. A) What is n…

A: Future value of present sum depends on whether it is simple interest or compounded…

Q: Mrs. Lazada is convince to invest to an insurance company with 4% interest compounded annually and…

A:

Q: Hanna invests $8400 for 8 years and 10 months. The account earns 5% semiannually. a) What is n for…

A: Basic Details: 1. Investment = $8400 2. Time = 8 years and 10 Months 3. Interest rate = 5 %…

Q: isha is buying a car for $26,000. She has $1,800 for a down payment. She plans prrow the remainder…

A: Using the compounding technique, the future value of a sum has been used to know the future value of…

Q: Candace borrows $4000 from Nick due in 10 years with simple interest at 8% monthly. Two years after…

A: The proceeds would be the difference between Present value at new terms and old terms. and we  will…

Q: A man purchases a lot worth 5M if paid in cash. On installment basis, he paid P800,000 down payment,…

A: Data given: Lot worth = P 5M = P 5000000 Down payment = P800,000 Loan amount = P 5000000 - P 800,000…

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: Javion Minerva owes P25,000 due in 1 year and P75,000 due in 4 years. He agrees to pay P50,000 today…

A: Effective interest rate refers to the rate which is calculated by computing the effect of…

Q: your sister bought a condominuim unit for 9,300,000 peso through a condominium loan which she avaied…

A: The monthly amortization is the payment that has to be paid or received at the end of every month.

Q: While buying a new car, Thomas made a down payment of $1,000.00 and agreed to make month-end…

A: Present value of annuity is current value of the future annuity flow.

Q: Vincent was receiving rental payments of $3,000 at the beginning of every month from the tenants of…

A: The capitalization rate: The capitalization rate or cap rate is used to determine the rate of return…

Q: Mr. Park plans to loan 500,000 from a bank to replace his old equipment. The bank approved him the…

A: Here, Loan Amount is 500,000 Interest Rate (r) is 15% Compounding Period (m) is Monthly i.e 12 Time…

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: how much interest will mico pay

A: PV = A[ (1-(1/(1+r)^n)/ r] Where PV = present value, A = Annuity amount. r = interest rate. n =…

Q: Roman paid $68,800 as a down payment towards an apartment purchase and receive nortgage from a bank…

A: Loans are paid by monthly equal amounts of payments and these equal payments carry the payment for…

Q: Lia plans to buy a house for Php 157,950. She wants to make a down payment of Php 24, 937 and to…

A: Mortgage- A mortgage is a sort of loan used to buy or maintain tangible assets such as a home,…

Q: Reggie availed of a deferred payment scheme from a bank that gave her an option to pay ₱5,500…

A: solution given Monthly payment 5500 Rate of interest 12% annual Compounding…

Q: Margo borrows $2000, agreeing to pay it back with 5% annual interest after 7 months. How much…

A: To determine the interest payable on $2000 at 5% annual interest after 7 months.  Let us assume that…

Q: A woman paid 20% down payment of P300,000 for a house and lot and agreed to pay the balance on…

A: given, price = p300,000 downpayment = 20% r=15% m=12 (monthly compounding) pmt = p 33,396.51

Q: Liz borrowed $52,500 to purchase a home. The bank offered her an APR of 3.49% for a term length of…

A: Borrowings are the liability that is used to finance the requirement of the funds. The borrower…

Q: Andy borrowed P9000 from Randy today and P12000 two years after and made a partial payment of P7000…

A: The present value of the two payments will be equal to the outstanding balance at the end of the 3rd…

Q: sky wants to purchase a new house that cost 1,440,000. The bank agrees to provide a loan to fixed…

A: We need to find monthly installment and compare that with the salary of 20000 per month. If monthly…

Q: Jane bought a $3,000 audio system and agreed to pay for the purchase in 10 equal annual installments…

A: Compute the amount of the annual installment. Amount to be borrowed is $3,000, Rate of interest is…

Q: A man purchases a lot worth 5M if paid in cash. On installment basis, he paid P800,000 down payment,…

A: Cost = P5,000,000 Down payment = P800,000 Payment at year end = P900,000 Payment at third year end =…

Q: Abel wants to determine the amount of money he would obtain from the interest of PHP 2,000 at 16%…

A: Time value of money (TVM) refers to the method or technique which is used to measure the amount of…

Q: Maria invested part of her P800,000.00 in an investment earning 12% per annum while the remaining at…

A: Solution:- When an amount is invested somewhere, it earns some interest on it and that’s why every…

Q: Ms.Sue was selling a house for a cash price of 5 million pesos but agreed to have it paid on monthly…

A: House cash price (CP) = $ 5,000,000 Period = 5 Years Total number of monthly payments (m) = 5*12 =…

Q: Ancog purchased a parcel of land somewhere in Brgy Tignapoloan. She paid P150,000 for the down…

A:

Q: Asa has invested money from the settlement of an insurance claim. She plans to withdraw  $4,640 from…

A: The cash flows discussed here are a form of an annuity. To compute the value of insurance claims we…

Q: If Ellen won $250,000 the last week in February, 1996 and invested it by March 1, 1996 in a "sure…

A: Amount invested = $250000 in 1996 Interest rate (r) = 8% Let A = Annual withdrawal from 2004 n = 15…

Q: Sally has a sum of $19000 that she invests at 7% compounded monthly. What equal monthly payments can…

A: Present value (P0) = $19000 Monthly interest rate (r) = 0.00583333333333333 (i.e. 0.07 / 12) Monthly…

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: Marcus bought a luxury car worth P2,000,000. He then decides to pay in a 6 year long installment…

A: Financing the purchase of certain high-priced products is a common practice of purchasers.…

Q: Mr. Ramos buys a house and lot that cost P450,000. He pays P75,000 as down payment and promises to…

A: “Since you have posted a question with multiple sub-parts, we will solve first three subparts for…

Q: M purchased a small lot in a subdivision, paying ₱200,000 down and promising to pay ₱15,000 every 3…

A: Periodic Payment = ₱15,000 every quarter Time Period = 10 Years Interest Rate = 12% compounded…

Q: Jenny has borrowed P 30000 in 1 year and P 80000 due in 5 years. She must pay P 50000 today and the…

A: Interest rate = 6% compounded semiannually Let the amount borrowed in year n = Bn and the amount…

Q: blake purchased an annuity that had an interest rate of 2.50% compounded semi- annually. it provided…

A: Solution- 2.50% interest rate semianually=2.52=1.25%=1.25100=1+r6-1=1+r=1.002072Monthly…

Q: Jane bought an audio system and agreed to pay for the purchase by making four equal annual…

A: The total cash payments of $4,200 are the sum of the total amount of installment paid in 4 years,…

Q: Lea buys a sala set. She pays P2, 500 down payment and pays P1, 200 per month for 2 years. If…

A: Cash equivalent of Sala set = Down Payment + Monthly installments

Q: Jordan purchased an annuity that had an interest rate of 4.00% compounded semi-annually. It provided…

A: In this we need to calculate effective rate and than find out present value factor and from that we…

Q: When Florio and Rhoda bought their home, they borrowed $200,000 for 30 years at 6%, compounded…

A: Since you have posted a question with multiple sub-parts, we will solve the first three sub-parts…

Q: Janet decided to pay a lump sum payment of $51000 so she will be able to make 6 years of quarterly…

A: Payment is the transfer, in appropriate amounts, of money, goods or services in return for goods and…

Q: Lisa purchased an annuity that had an interest rate of 3.00% compounded semi-annually. It provided…

A: The purchase price of an annuity corresponds to current worth of annuity payments that make investor…

Q: Alex wants to purchase a used car for OR 20,000.00. She could pay OR 5000.00 at purchase and wishes…

A: The computation of yearly payment as follows:

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.