To buy some furniture, Asmaa can put $150 down and "don't pay a cent" for 6 months. At the end of 6 months, she begins making monthly payments of $100 for 2-years. If j12 = 8.4%, what is the equivalent cash price of the furniture?

Q: Betty wants to save $500,000 in four years. She wants to make monthly deposits into an account which…

A: An Annuity is a continuous flow of systematic timely cash flows made or received for a stipulated…

Q: Stephanie is going to buy a car that costs $30,000. If she makes $650 a month payments for 48 months…

A: Calculate the present value of loan as follows: Present value of loan is $27,731.31

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Q: Jill wishes to buy a used Ford Escape for $16,000 with a 20% down payment at 7.5% for 36 months.…

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Q: 1. If money is worth 5% compounded quarterly, how much must Julea save every end of three months to…

A: Here we will use the concept of time value of money. As per the concept of time value of money it is…

Q: Ingrid wants to buy a $22,000 car in 6 years. How much money must she deposit at the end of each…

A: Future Value = $22,000 Time Period = 6 Years Interest Rate = 5.8%

Q: Robyn is considering the purchase of a new car that sells for $34,000. Čalculate her monthly payment…

A: Using the PMT function

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A: Ordinary annuity are the PMTs which are made at the end of the period.

Q: You have a client who wants to buy a house in 2 years. He needs $40,000 for a down payment. If he…

A: in this problem we have to calculate quarterly interest rate and from that we can get present value.

Q: Gertrude wants to make $500 monthly withdrawals for 10 years from an account which pays 4%…

A: A concept that implies the future worth of the money is lower than its current value due to several…

Q: Sue decides to start saving money for a new car. She knows she can invest money into an account…

A: According to time value of money, FV=PV×1+RMM×N Where, PV = present value R = rate of interest M=…

Q: A dentist wants to determine how much money she needs to put up in a bank now to have enough cash to…

A: To answer the question, we will use the present value of growing annuity concept. The dentist is…

Q: When Maria Acosta bought a car 2 1/2 years ago, she borrowed $10,000 for 48 months at 7.2%…

A: Compound interest refers to the amount to be paid on the borrowed amount for a definite period. It…

Q: Natasha is going to take out an unsubsidized student loan of $13,500 at a 4.2% APR, compounded…

A: An unsubsidized student loan is a loan on which interest starts accruing the day money is deposited…

Q: Henry wants to buy a new gaming laptop worth 84,000 php. He is offered 40% of the price as down…

A:

Q: 4. You wish to purchase a house that costs $294,000, and the bank requires you to have 12% of the…

A: A down payment is an early stage payment made for a particular good purchased through financing.

Q: A recent college graduate buys a new car by borrowing $24,000 at 8.4%, compounded monthly, for 5…

A:

Q: A recent college graduate buys a new car by borrowing $16,000 at 7.2%, compounded monthly, for 5…

A: Any cashflow of equal instalments can be called as an annuity. A loan with equal repayments at equal…

Q: Nabil is considering buying a house while he is at university. The house costs $200 000 today.…

A: Given, Discounting rate=6%12 months=0.5% per month Period=5 years×12 months=60 months

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A: The following calculations are done in the records of a recent college graduate who has applied for…

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A: Time value of money- It is based on the concept that money earned today is worth more than similar…

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

Q: Kourtney currently works at Bruin Productions and decide to finally plan for the future, she wants…

A: Information Provided: Future value = $250,000 Term = 10 years Interest rate = 6.1% compounded…

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A: A mortgage is a loan provided by the bank to the individual to buy the house. An individual can…

Q: In order to purchase a brand new set of living room furniture, you take out a loan from the bank at…

A: Cash price is the present value of quarterly payment made at the of the quarter.

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A: It is required to compare the present value of the cost of both the options. The option with the…

Q: Anh decided to buy a new car that costs $35,500. She knows that she can get a 6-year loan at 3.8%…

A: 1. Calculate the present value of the monthly payments that the individual can afford by using EXCEL…

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A: a) Interest for the first semi annual payment       = Principal * Rate * Time      = 135000 * 6%…

Q: Nabil is considering buying a house while he is at university. The house costs $200 000 today.…

A: Net present value is the technique used in capital budgeting to evaluate the acceptability of the…

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A: Installment is the amount of periodic payments made by the borrower to the lender in order to pay…

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A: Future value  is the worth of any asset or any sum of money at a future date when such asset or…

Q: In 4 years, Jennifer Videtto will need to purchase a delivery van for her plumbing company. She…

A: Present value refers to the current value of future stream of cash flows at a given specified rate…

Q: Jamal bought a car and is making month-end payments of $510.35 for the next 4 years to pay it off.…

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Q: A consumer faces the following decision. She can buy a computer for $1050 and pay $10 per month for…

A: To compare the alternatives, total present value of cost of computer will be calculated. Present…

Q: Carmen Hernandez has saved $8,000 for a deposit on a car. The highest monthly payment she can afford…

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Q: Barbara wants to accumulate $25000 by the end of 4 years. She starts making quarterly deposits in…

A: We need to use this equation for quarterly payment(PMT) and future value(FV) of annuity PMT…

Q: You are going back to school and anticipate you will need 25,000 a year for living expenses for 6…

A: Using Excel PV function

Q: To buy some furniture, Asmaa can put $150 down and "don't pay a cent" for 6 months. At the end of 6…

A: Down Payment =$150 Amount not Paid for 6 months. Monthly Installment  = $100 Years = 2 Installments…

Q: Nabil is considering buying a house while he is at university. The house costs $200 000 today.…

A: Capital budgeting indicates the evaluation of the profitability of possible investments and projects…

Real Estate

Real estate means ownership of land along with the assets and natural resources that exist on the land. These properties are in real/physical form which is tangible. Real estate simply means land or addition made to land permanently like constructing a residence or different buildings. People invest in real estate to either reside or for wealth creation. Many people investing in real estate further lend the place for occupation or businesses in return for a monthly payment.