Question Help O To borrow money, you pawn your guitar. Based on the value of the guitar, the pawnbroker loans you S00 One month later, you get the guitar back by paying the pawnbroker $1472 What annual interest rate did you pay? You wil pay a simple interest rate of (Round to the nearest whole number as needed 1

Question Help O To borrow money, you pawn your guitar. Based on the value of the guitar, the pawnbroker loans you S00 One month later, you get the guitar back by paying the pawnbroker $1472 What annual interest rate did you pay? You wil pay a simple interest rate of (Round to the nearest whole number as needed 1

PFIN (with PFIN Online, 1 term (6 months) Printed Access Card) (New, Engaging Titles from 4LTR Press)

6th Edition

ISBN:9781337117005

Author:Randall Billingsley, Lawrence J. Gitman, Michael D. Joehnk

Publisher:Randall Billingsley, Lawrence J. Gitman, Michael D. Joehnk

Chapter7: Using Consumer Loans

Section: Chapter Questions

Problem 8FPE

See similar textbooks

Similar questions

1. The Villa Pawnshop charges 24% simple interest on the loan of all items pawned to them. If Rose pawned her necklace for P1,200.00, how much will she pay the pawnshop after 90 days assuming Villa Pawnshop charges the following? b. ordinary interesta. exact interest
uppose Brian has $1000 to lend to one of two friends for 6 months. The first friend, Tom, is offering to pay him 9% interest compounded quarterly. The second friend, Steven, is willing to pay him 8.8% interest compounded daily. a) Compute the future value if Brian were to give his $1000 to Tom. Round your answer to the nearest centb) Compute the future value if Brian were to give his $1000 to Steven. Round your answer to the nearest cent. c) Every cent is important to Brian. Which friend is offering Brian the better deal?
2. Zain borrowed a certain amount of money from Bank Menang to purchase a car. He has to repay RM880 monthly for 5 years. No use excel. a) How much did he borrow if the bank charged interest at 7.5 % per annum on the original balance? (RM38400) b) Calculate the amount of interest Zain has to pay to the bank. (RM14400) c) If Zain made a 40% down payment, find the cost price of the car. (RM64000)
Sarah Maddox wants to buy a new car that will cost $15,000. She will make a down payment in the amount of $3,000. She would like to borrow the remainder from a bank at an interest rate of 8% compounded monthly. She agrees to make monthly payments for a period of two years in order to pay off the loan.Select the correct answer for each of the following questions:(a) What is the amount of the monthly payment (A)?1. A = $12,000 (A/P, 0.75%, 24).2. A = $12,000 (A/F, 0.66%, 24).3. A = $12,000 (A/P, 0.66%, 24).4. A = $12,000 (A/F, 9%, 2)/12. (b) Sarah has made 12 payments and wants to figure out the remaining balance immediately after the 12th payment. What is that remaining balance?1. B12 = 12A.2. B12 = A(P/A, 9%, 1)/12.3. B12 = A(P/A, 0.66%, 12).4. B12 = 10,000-12A.
2. They decide to shop for furnishings for the new house. They choose items that amount to $2400.00. The store has 2 fixed installment loan options for purchasing: Option 1: 20% down payment and financing at 7% simple interest per year for 2 years. Option 2: no down payment and financing at 7.75% simple interest for 3 years. Answer each of the following questions separately, showing all your work to reach each answer. A. Which option will result in smaller total finance charge? What will that total finance charge be? B. Which option will result in the smaller monthly payment? What will that monthly payment be? C. They decide to defer any purchases and invest in a savings account a $2400 bonus that Maria will be getting from work. The rate is 1.5% interest compounded every month. How much interest will they earn in 3 years? D. They decide to defer any purchases and loan the $2400 bonus to a needy relative at 3% simple interest per year. How long will the term of the loan need to be if…
2.They decide to shop for furnishings for the new house. They choose items that amount to $2400.00. The store has 2 fixed installment loan options for purchasing: Option 1: 20% down payment and financing at 7% simple interest per year for 2 years. Option 2: no down payment and financing at 7.75% simple interest for 3 years. Answer each of the following questions separately, showing all your work to reach each answer. A. Which option will result in smaller total finance charge? What will that total finance charge be? B. Which option will result in the smaller monthly payment? What will that monthly payment be? C. They decide to defer any purchases and invest in a savings account a $2400 bonus that Maria will be getting from work. The rate is 1.5% interest compounded every month. How much interest will they earn in 3 years? D. They decide to defer any purchases and loan the $2400bonus to a needy relative at 3% simple interest per year. How long will the term of the…
PLEASE ANSWER THESE 2 QUESTIONS BARTLEBY. THANKYOU 3. If you are to pay P 3,000.00 for a debt made 2 months ago at the rate of 7% simple interest, what amount did you borrow? 4. If a refrigerator is offered for sale at the amount of P 18,000.00 payable after 1 year. If you wish to pay immediately, what is the present value of the refrigerator if the seller offers to compute the cash price on the assumption that the money is worth 8% in the simple interest?
7. The new violin Minerva wants is on sale for $6999.95, plus taxes of 13%. She can afford monthly payments of $550. She has two credit options: Use the store credit card, which charges 19.2% interest, compounded daily. As an incentive, the store will pay the taxes. Use her bank credit card, which charges 13.9% interest, compounded daily, and has no outstanding balance. Minerva should use the_____ credit card because it will cost less than the other one. I need the answers and some guidence for this question. Thank you very much for helping me.
Karim Darmati must pay a $6,750 furniture bill. A finance company will loan Karim $6,750 for 8 months at a 10.20% discount rate. The finance company told Karim that if he wants to receive exactly $6,750, he must borrow more than $6,750 M = Proceed 1 – (D)(T). Calculate Karim’s loan request. (Do not round intermediate calculations. Round your final answer to the nearest cent.) Calculate the effective rate of interest. (Do not round intermediate calculations. Round your final answer to the nearest hundredth percent.)
Tom just won a lottery. he plans to create a money market certificate in a bank to prepare a down payment for a house $400,000. The down payment is 20% of the house price, and the current five-year APY is 3.25%. How much should you put in the money market certificate account to accumulate the down payment? Group of answer choices $340,886.41 $93,872.91 $469,334.56 $68,117.28
Question a Tori is planning to buy a car. The maximum payment she can make is $3400 per year, and she can get a car loan at her credit union for 7.3%interest. Assume her payments will be made at the end of each year 1–4. If Tori’s old car can be traded in for $3325, which is her down payment, what is the most expensive car she can purchase? Full explain this question and text typing work only We should answer our question within 2 hours takes more time then we will reduce Rating Dont ignore this lin
You want to purchase a car with a sticker price of $25,000.The car dealer offers you a $2,000 discount and a 48-month,8.5% APR compounded monthly, or no discount with a4.0% APR on a 48-month loan. Which offer is better?11.8 Considering an inflation of 4.0%. How does inflation affect the results of the previous problem?