Someone is borrowing from a five-six ( Bumbay ) money lender. How much will   be charged if you want to loan ₱ 5,000.00, payable in one year? Determine the   interest rate per period and the annual interest rate. Is it a good loan term? Why   or why not?

Q: In one instance, a financial institution loaned you $20,000 for two years at an apr of 4.75% for…

A: Interest refers to the cost of borrowing money from the lender.

Q: You want to buy a $200000 home. You plan to pay $20000 as a down payment, and take out a 20 year…

A: Here, Value of Home is $200,000 Down payment is $20,000 Time Period of Loan is 20 years Interest…

Q: Suppose you borrowed Php 30,000 on a student loan at a rate of 8% and must repay it in three (3)…

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

Q: Suppose you want to borrow $20,000 for a new car. You can borrow at 8% per year, compounded monthly…

A: Amount to borrow= $20,000 Interest rate= 8% per year, compounded monthly (0.6667% per month) Time…

Q: A person borrows $3,000 on a bank credit card at a nominal rate of 18% per year, which is actually…

A: Loan is the value which is borrowed from the other sources like banks and this amount repaid later…

Q: What is the effective interest rate charged to a loan of P5,000 paid after 5 years amounting to…

A: Effective Rate of Interest is the percentage return on the amount invested into any return paying…

Q: Please show all equations and work as needed. Make the correct answer clear. If possible, please…

A: The computation of net amount is as follows:Hence, the net amount of funds from the loan is $511560.…

Q: What is the discount interest rate if P129,750 was obtained after a loan of P150,000 was granted for…

A: Simple interest is a quick and easy way to find out how much money you owe. The daily interest rate…

Q: How much is the interest if you need to borrow 400,000 for one year with 475,000 line credit, where…

A: Interest = amount borrowed * rate of interest

Q: A borrower can borrow $10 million at a fixed-rate loan at 7.5% for six years, or a floating-rate…

A: The borrower should select the lowest rate alternative among the fixed rate and floating rate plus…

Q: You borrow $ 3500 for one year from a friend at an interest rate of 1.5 % per month instead of…

A: The term loan refers to a type of credit vehicle in which a sum of money is lent to another party in…

Q: suppose that you decide to borrow $15,000 for a new car. you can select one of the following loans,…

A: a.Loan ALoan Amount (pv) = $15,000Interest Rate (rate) = 5.9%Time Period = 3 YearsNumber of Payments…

Q: You want to buy a $170000 home. You plan to pay $51000 as a down payment, and take out a 15 year…

A: Given:

Q: Suppose a man can afford monthly car payments of $380 per month, and his bank is offering a…

A: We need to use loan amortization  formula to calculate amount of loan that can be afford Loan…

Q: Find the amount (in dollars) indicated. (Round your answer to the nearest cent.) the monthly…

A: The month payment is the equal amount that is paid at every month until the maturity of the loan…

Q: Task If you are planning to apply for a personal loan and borrow PhP 30,000 and repay principal and…

A: In case of loan repayments, the principal of compound interest is applicable. The total monthly…

Q: A lender requires PMI that is 0.8% of the loan amount of $460,000. How much (in dollars) will this…

A: Given information: Loan amount is $460,000 PMI requires 0.8% of loan amount

Q: The First Common Bank has advertised one of its loan offerings as follows: “We will lend you…

A: Interest: It can be defined as the cost incurred by the borrower related to the amount borrowed.

Q: for borrowing 15000 for 3 years and 3months, a lender charges a borrower 750, what is the simple…

A: A simple rate of interest is one of the simple methods of calculating the interest on borrowings.…

Q: your given the following information about a home loan: loan amount 300000 number of years 25 years…

A: As per the Given Informatin we have, Loan= 300,000 Interest Rate Given=7% Upfront Rate=3% Total…

Q: You plan to borrow P10,000 from your bank, which offers to lend you the money at a 7.5% nominal rate…

A: Nominal rate (D)= 7.5% Borrowed amount = P10,000

Q: A lender requires PMI that is 0.8% of the loan amount of $470,000. How much (in dollars) will this…

A: Working note:

Q: When interest is charged on the unrecovered balance, if you borrow $10,000 at 10% per year interest…

A: Whenever loan is taken, interest is required to be paid on that loan. That interest calculation can…

Q: If you borrow $25,000 from a local finance company and you are required to pay $4,424.50 per year…

A: Given values: Present value (PV) is $25,000. Annual payments (PMT) are $4,424.50. Maturity period…

Q: You get a twenty-year amortized loan of Php100,000 with a 5% annual interest rate.  What are the…

A: Whenever a borrower acquires funds from a lender, he makes a promise to repay back the principal…

Q: Your firm is considering a one-year loan for $522,000. The fees are 2% of the loan amount and the…

A: The lender deducts the fees upfront while disbursing the money, so effectivly the borrower get the…

Q: Assume you borrow $10,000 today and promise to repay the loan in two payments, one in year 2 and the…

A: Let, the size of the payment in 4th Year be X. The calculation of the value of X is as follows:

Q: What is the internal rate of return on a $3,000 loan to be repaid as $3,500 twoyears from now?

A: An internal rate of return is the metric used in financial analysis for estimating potential…

Q: Suppose you want to borrow S125 000 and you find a bank offering a 20-year loan with an APR of 5% a.…

A: a. Determine the regular payments when n=1 using the Excel PMT function with the following inputs:…

Q: "If you borrow $9,725 and are required to repay the loan in five equal annual installments of…

A: Using financial calculator

Q: A payday lender lends money on the following terms: “If I give you $100 today, you will write me a…

A: An interest method in which current interest is computed by multiplying the interest rate by the sum…

Q: You plan to borrow P10,000 from your bank, which offers to lend you the money at a 7.5% nominal rate…

A: Borrowed amount is P10,000 Nominal interest rate is 7.5%   To Find: Effective interest rate on a…

Q: A man borrows Php10,000 from a loan firm. The rate of simple interest is 15%, but the interest is to…

A: Actual interest rate here will be calculated by dividing interest by net amount received. Actual…

Q: Consider a 30-year fixed-rate home loan of $565,500 with an interest rate of 4.25%. What is the…

A: Loan amount (P) = $565,500 Interest rate (r) = 4.25% Period (t) = 30  years

Q: A man took out a loan with a loan shark. He accepts P21,342.00 from the loan shark and promises to…

A: Equation for calculation of simple interest is as follows: Interest= P x R x T ÷ 100 so, to…

Q: How would be the principal amount of loan if you need to borrow $300,000 for one year with a…

A:

Q: If you borrow $1,000 at 8.5% simple interest and the loan requires a lump sum payment of $1,235.79,…

A: Future value = Principal + Simple interest Simple interest = Principal * Rate of interest * time

Q: How much interest will be collected in advance from a loan of $ 25,000 for 2 ½ years if the discount…

A:

Q: (1) A 5-year auto loan for $20,000 has monthly payments at an 8% nominal annual rate. If the…

A: Annual percentage rate (APR) refers to the annual interest rate charged to borrowers or investors.…

Q: My friend is charging me 3.69% per month on loan. loan? What is the nominal interest rate per year…

A: The major difference between the nominal and effective interest is that the effective interest takes…

Q: A lender requires PMI that is 0.7% of the loan amount of $490,000. How much (in dollars) will this…

A: Working note:

Q: All borrow from a local bank, charge k $ 8000 per year, how many years will it take to pay off the…

A: The loans are paid by annual payment and these carry the payment of interest and payment of…

Q: How long a Php76,300 loan earns Php33, 000 if money is 12% rate?

A: Future value is the amount of money invested for a number of the period with the assumed growth of…

Mortgages

A mortgage is a formal agreement in which a bank or other financial institution lends cash at interest in return for assuming the title to the debtor's property, on the condition that the obligation is paid in full.

Mortgage

The term "mortgage" is a type of loan that a borrower takes to maintain his house or any form of assets and he agrees to return the amount in a particular period of time to the lender usually in a series of regular equally monthly, quarterly, or half-yearly payments.