The owner of a hotel borrowed $36,000 at 7.8% p.a. compounded semi-annually and agreed to repay the loan by making payments of $1050 at the end of every 3 months. How much payments will be needed to repay the loan? How much will be owed at the end of 5 years? By the end of 5 years of payments, what is the total interest paid?

Q: A Dodge truck is purchased for $39,000 paying $5,000 down and the remainder in equal monthly…

A: Purchase price=$39,000 Down payment=$5,000 Principal loan amount=$39,000-$5,000=$34,000 No. of…

Q: A local business received a $45,000 loan at 4.95% compounded semi-annually. The business settled the…

A: Here, Value of Loan is $45,000 Interest Rate is 4.95% Monthly Payment is $650 Compounding Period is…

Q: Ansel Accounting Firm rents an office space for $250,000 per year which is due at the beginning of…

A: Beginning of period payments Rent Payments = 250,000 per year Time Period = 5 years Hurdle Rate =…

Q: Ben borrowed PHP 1,300,000 from a finance company that charges interest at 16% compounded…

A: Loan amount (PV) = PHP 1,300,000 Interest rate = 16% Semi annual interest rate (r) = 16%/2 = 8%…

Q: A company has agreed to pay $3.3 million in 5 years to settle a lawsuit. How much must it invest in…

A: Future value = $ 3,300,000 Period = 5 Years Annual interest rate = 9% Number of compounding per year…

Q: 4. Michael Joe borrowed P15,000 at a 14% annual rate of interest to be repaid over 3 years. The loan…

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

Q: Lush Gardens bought a new truck for $85,000. It paid $10,000 as a down payment and financed the…

A:

Q: A truck costing $114,000 is paid off in monthly installments over four years with 6.3​% APR. After…

A: given, p=$114,000 r=6.3% m=12 n=4

Q: Ruby Bakeshop obtains a loan of P500,000, with interest at 8% compounded quarterly, for the…

A: SOLUTION-   COMPUTATION FOR QUARTERLY INSTALLMENT AMOUNT - QUARTER  PV FACTOR 2% (8%/4)  (A)…

Q: a. How many payments are required to settle the loan? _________payments b. Fill in the partial…

A: Loan is financial agreement where a person (lender) lends lump-sum money to other person (borrower)…

Q: Tan Company purchased a large server for $29,000. The company paid 30% of the value as a…

A: Loans are paid by monthly payment that carry the payment of interest and principal amount payment…

Q: Tan Company purchased a large server for $23,000. The company paid 40.00% of the value as a…

A: The concept in the question is of Annuity. Annuity is a stream of equal payments/receipts made at…

Q: General Computers Inc. Purchased a computer server for $72,000. It paid 30.00% of the value as a…

A: Here, To Find: No. of payments required to settle the loan =?

Q: Sunlight Growers borrows $250,000 from a bank at a 4% annual interest rate. The loan is due in three…

A: Formula: Interest amount = Principal amount x Interest rate x Time period

Q: Welland Fabricating borrowed $73,400 at 8% compounded quarterly to purchase a new piece of…

A: The final loan payment can be seen from an amortization schedule which shows the amount of loan…

Q: Braxton used the Quantitative Reasoning Process to create a plan to pay off his credit card loan of…

A: The correct answer is $6,399.5.

Q: General Computers Inc. purchased a computer server by taking a loan of $33,000 at 3.50% compounded…

A: Amount of loan “L”= $33,000 Rate = 3.5% compounded semi-annually Semi-annual rate “r” = 3.5%/2 =…

Q: Josef Company borrowed money that must be repaid in 20 years. The company wants to make sure the…

A: Present value of annuity is calculated using the following formula: Present value= P(1-(1+r)^-n)/r…

Q: An engineer buys a car for $20,600. giving a down payment of $5,000. followed by 48 monthly…

A: Information Provided: Down payment = $5000 Car cost = $20,600 Monthly installments = 48 Installment…

Q: . Elmo borrowed $25,000 from the Statler & Waldorf Bank at 12% APR, compounded monthly. The loan is…

A: Loan amount (PV) = $ 25,000 Annual interest rate = 12% Monthly interest rate (r) = 12%/12 = 1%…

Q: A company borrowed $17,000 paying interest at 3% compounded semi-annually. If the loan is repaid by…

A: Amortization Schedule: It is a complete table of periodic loan payments, showing the amount of…

Q: Langara Woodcraft borrowed money to purchase equipment. The loan is repaid by making payments of…

A: The loan amount is the present value of the annuity payment made in repayment schedule of the loan.…

Q: Scrimiger Paints wants to upgrade its machinery and on September 20 takes out a loan from the bank…

A: Given: Loan taken on Sep 20=$680000Annual interest rate =3.4% Payable in =8 months i.e. on May 20

Q: A family borrowed $60,000 to buy a house. The loan was at 6.9% and for 25 years. The monthly…

A: Loan amount = $ 60000 Interest rate = 6.9% Monthly interest rate  = 6.9%/12 = 0.575% Period = 25…

Q: General Computers Inc. purchased a computer server by taking a loan of $36,500 at 3.50% compounded…

A: The loan has been amortized using the interest, the payment made each period must include the…

Q: A newly graduated engineer bought furniture for $4500 from a local store. Monthly payments for 1…

A: Amortization schedule  A table of the periodic payments of the loan, indicating the principal amount…

Q: A debt of $8,000 accumulated interest at 2.5% compounded annually for 15 months, after which the…

A: Time value of money: The time value of money is the idea that the value of money received today will…

Q: a) The payments are recalculated based on the new interest rate and a continuation of the original…

A: Mortgage Loan is the loan provided as to when the asset is given as security against it. It is a…

Q: A businessman plans on depositing Php 12,500 per month in amount that pay 8% annual interest with…

A: Future value is the value of group of recurring payments for the specified time period with a…

Q: Global Waste Management Solutions Ltd. borrowed $36,000 at 6.6% compounded semiannually. They made…

A: Borrowing Amount = 36,000 Interest Rate = 6.6% Compounded semi annually Number of compounding…

Q: A new car is purchased for $10,000 with a 0% down, 9% interest rate loan. The loan’s length is 4…

A: Using excel PV function

Q: Kavra Corporation purchased a building by signing a $150,000 long-term mortgage with monthly…

A: Given, Loan Amount = $ 150,000 Monthly payments  = $ 2,000 Rate of Interest = 12% per annum = 12% /…

Q: Joanne Flynn bought a new boat for $21, 500. She will apply $1,500 as the down payment on the boat.…

A: Loan Rebate: Any loan that is taken can be repaid at an earlier date.

Q: Clare Jarrett has just closed a business loan of $400 000 to assist with the purchase of equipment…

A: Yearly payments are the annual payments, which means the total amount expected to be paid yearly…

Q: General Computers Inc. purchased a computer server for $70,000. It paid 35.00% of the value as a…

A: Purchase of Computer Server = $70,000 Down payment = $24,500 (being 35% of $70,000) A loan is taken…

Q: A restaurant borrows $12,800 from a local bank for 5 months. The local bank charges simple interest…

A: Here, Borrowed Amount is $12,800 Interest Rate is 7.3% Time Period is 5 Months One month is equal to…

Q: On January 1 of this year, Shannon Company completed the following transactions (assume a 9% annual…

A: SOLUTION- PRESENT VALUE = FUTURE VALUE / (1+i)^n   PRESENT VALUE FACTOR  @ 9%. YEARS PRESENT…

Q: Ted's Machine Shop purchased a computer to use in tuning engines. To finance the purchase, the…

A: Principal amount P = $18,500 Interest rate r = 4% Semi annual interest s = 4%/2 = 2% Principal…

Q: Jane wants to buy a house and approaches the bank to borrow $638,000. The bank agrees to lend her…

A: A loan refers to a sum of the amount that is being borrowed by a borrower who is in need of funds…

Q: A company purchased new equipment for $31,000 with a two-year installment note requiring 5%…

A: Notes payable: Notes Payable is a written promise to pay a certain amount on a future date, with…

Q: A bakeshop obtains a loan of P500,000 with interest at 8% compounded quarterly for the construct of…

A:

Q: Jill Kramer borrowed $25,000 to pay for a start-up business. Jill must repaythe loan at the end of 5…

A: Simple interest is the interest amount calculated on principal portion of loan or deposit made in…

Q: 1. Chris has saved $6500 towards buying a car which is valued at $23,500. They plan to borrow the…

A: Thank you for posting questions. Since you have posted multiple subparts of a question, as per the…

Q: A sales engineer is due to resign in the next three years. His plan is to set uр a business that…

A: Time Period = 3 years×12 = 36 months Interest Rate = 1.5%/12 = 0.125% per month Future value…

Q: An entrepreneur bought a used heavy equipment for Rp. 96,000,000 on January 1, 2003. The…

A: Loan payment is calculated using Present value of annuity formula which is given as follows PV =…

Q: Don James purchased a new automobile for $14,000. Don made a cash down payment of $3,500 and agreed…

A: The amount of the required monthly payment can be calculated using the financial calculator with…

Q: A firm acquires a warehouse costing $60,000 on January 31. The firm makes a down payment of $7,000…

A: Interest payable should be recorded for 1 month i.e From 31 January to 28 February.

Q: Block Associates borrowed $100,000.  The company plans to put aside money to repay the loan after 20…

A: A loan refers to a sum of the amount that is being borrowed by a borrower who is in need of funds…