Mary Smith took out a loan of $75,000. The loan runs for five years at a minimum interest rate of 33% with payments due each month. How much is each monthly payment?
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Mary Smith took out a loan of $75,000. The loan runs for five years at a minimum interest rate of 33% with payments due each month. How much is each monthly payment?
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- hazel borrowed 100,000 and must repay a total of 130,000 exactly two years later. How much is the interest paid? what is the interest rate?Does the compounding increases the amount of interest paid over a year atthe same nominal interest rate?You take out a loan of $12,000 to pay for a piece of equipment. You plan to repay the loan in 16 years. You can afford to pay a maximum of $1,100 each year. What interest rate would allow for you to pay off the entirely of the loan in equal payments?
- A series of equal quarterly payments of $2,000 for 10 years is equivalent to what future lump-sum amount at the end of 20 years at an interest rate of 6% compounded continuously?If you borrowed $32,000 for 72 months at 16.5% with an add-on loan, what would be your monthly payment and the total amount you paid on interestJames deposited $150 at the beginning of each month for two years into his savings account. For the next four years he did not make any more deposits, leaving the money in the account. The bank charges 4% interest compounded monthly. What will the balance be after 12 years?
- How many months will it take to pay off a $525 debt, with monthly payments of $15 at the end of each month, if the interest rate is 18% compounded monthly?In an ordinary annuity (uniform series of payments) if the nominal rate of interest is 8% compounded quarterly for 6 years. 1. Compute the value of the capital recovery factor. 2. Compute the value of the sinking fund factor. 3. Compute the value of the present worth factor.Carlos buys a bond that will pay him $1,000 after 3 years. It accumulates interest at an annual interest rate of 7% with continuous compounding. What is the value of this bond today? $810.58 $816.30 $425.78 $310.29
- A 20-year mortgage set up for uniform monthly payments with 6 percent interest compounded monthly is taken over by a new owner after 8 years. At that time $12,000 is still owed on the principal. What was the amount of the original loan?Question:- Do not use ms excel. solve by using compound interest tabelsWhenever the interest charge for any interest period (a year, for example) is based on the remaining principal amount plus any accumulated interest charges up to the beginning of that period, the interest is said to be: a. effective interest b. compound interest c. simple interest d. nominal interest e. none of the choices