William recently graduated from NFA University. While at NFA, William took out 4-23 a $50,000 student loan. His loan requires him to make monthly payments for a 10-year period. (a) If the simple annual interest is 4.2 percent, what are William's monthly payments? (b) To the nearest dollar, how much will William owe on his student loan after he makes payments for three years?

Q: For her son's tuition fee, Maria borrowed 10,000 pesos from a lending company with annual simple…

A: Borrowed Amount (P)=10,000 pesos Duration (n)= 2 years Rate of simple interest (r)=0.084 p.a.…

Q: Briana received a 10-year subsidized student loan of $26,000 at an annual interest rate of 4.125%.…

A: In student loan, loan payment is deferred till completion of studies but interest gets due for same…

Q: Asa has invested money from the settlement of an insurance claim. She plans to withdraw $1,920 from…

A: Fist we need to calculate present value of all withdrawals by using present value of ordinary…

Q: Jeffery received a 6 year non subsidized student loan of 32,000$ at an annual interest rate of 5.1%.…

A: Loan Amount is $32,000 Annual Interest rate is 5.1% Loan payment will start after 4 year Loan Type…

Q: Rhett is about to begin college (4-year) and has received a 10-year $7,500 Federal Direct…

A: Annuity refers to series of annual payment which is paid or received at start or ending of specific…

Q: Ian loaned his friend $25,000 to start a new business. He considers this loan to be an investment,…

A: Calculation of annual payment and capital recovery schedule: Answer: The annual payment is $7,716.72

Q: Taylor Swift, a college student of USEP decides to get a student loan amounting to $4,000 with an…

A: Amortized Loan:  Amortized loan is a type of loan in which the borrower would pay periodic payments…

Q: Jim made a down payment of 2500 dollars toward the purchase of a car. To pay the balance of the…

A: Given information: Down payment is $2,500 Nominal interest rate is 4% compounded monthly Payment of…

Q: John took a personal loan of $100,000 from the bank at a nominal interest rate of 6% per year…

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

Q: Grandma Riley wants to help Scott while he's in college by giving him a S220 monthly allowance for 5…

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

Q: Upon graduation, Terrence purchases a home theatre system through financing $5,000 by his credit…

A: Repaying a credit card bill: A charge on the credit card bill does not carry any interest if the…

Q: Dan opens a line of credit at a local bank, and immediately borrows 2080 dollars. 5 months later, he…

A: A financial instrument that provides never-ending borrowing and paying facility to the borrowers is…

Q: At the beginning of Gabe’s freshman year, His favorite uncle deposit ₱10,000 into a four-year bank…

A: Amount that will be in the account after four years can be calculated using following formula FV =…

Q: Perry is a freshman. He estimates that the cost of tuition, books, room and board, transportation,…

A: The present value of an annuity is the current worth of a series of cash flow at a certain interest…

Q: Starting on July 1, 2000, Peter borrows $8,400.00 each year for 4 years from his dear Aunt May to…

A: Loan amount = $8,4000 Time period = 4 years Interest = 9% compounded semi-annually  Installment = 20…

Q: While Mary Corens was a student at the University of Tennessee, she borrowed $11,000 in student…

A: Present Value of annuity refers to the present value of all the future payments of and series of…

Q: Michael wants to buy some new exercise equipment for his home gym for ​$123,000 financed at an…

A: The interest payable on the loan is determined at the start of the loan using this approach. The…

Q: ictor received an 8-year subsidized student loan of $22,000 at an annual interest rate of 4.85%. If…

A: The question gives the following information:

Q: Larry has decided to take out a loan for college. He expects to graduate 5 years and 6 months later…

A: Interest rate is the rate of interest earned/paid on an investment/loan. The interest will be paid…

Q: Ashea Smith is a 22-year-old senior who used the Stafford loan program to borrow $4,000 four years…

A: The annual payment amount can be calculated. But the first step is to calculate present value of all…

Q: David Abbot is buying a new​ house, and he is taking out a 30​-year mortgage. David will borrow…

A: Taxation refers to the imposition of compulsory financial obligations by the government on…

Q: While in college, Ellen received $40,000 in student loans at 8% interest. She will graduate in June…

A: An Annuity is a series of payments of fixed amounts and at fixed intervals. These can be of two…

Q: Jack has borrowed money from his financial institution, and has agreed to pay $200 at the end of…

A: 1) Computation:

Q: Joe borrowed $100,000 from a local bank, which charges him an interest rate of 7% per year. If Joe…

A: The present value is the value of the sum received at time 0 or the current period. It is the value…

Q: Jackson has a loan that requires a $16,600 lump sum payment at the end of four years. The interest…

A: The amount borrowed today can be computed using the present value function.

Q: Approximately how long will he take to pay off the loan under these​ conditions?

A: Information Provided: Time = 5 years Interest rate = 6.5% Present value = $62,000 Additional payment…

Q: Mary, a college student, needs to borrow $8,000 today for her tuition. She agrees to pay back the…

A: This question is about calculating the future value. Formula: Future value = Initial amount*(1+…

Q: While Kate was a student at SA University, she borrowed $16,000 in student loan at an annual…

A: The concept of the present value implies that the money today is  having more worth  than the money…

Q: Samuel Ng received a 3-year subsidized student loan of $15,000 at an annual interest rate of 4%.…

A: Given that: Loan Amount (A)= $15000 Time(t)= 3 years Number of payments per year (n)= 12 Annual…

Q: Mary, a college student, needs to borrow $8,000 today for her tuition. She agrees to pay back the…

A: Initial amount is $8,000, Number of years is 4, Interest rate is 3.85%

Q: a) Find Kareem's monhly payment b) If Kareem pays the monthly payment for each month for the full…

A: Loan (mortgage) amortization schedule refers to a schedule which is prepared to shows the periodic…

Q: Bill Baxter has $25,000 to invest for a year.  He can lend it to his sister, who has agreed to pay…

A: given, simple interest to sister P = $25,000 r= 10% n = 1 retirement plan: P= $25000 r=6% m=4 n=1

Q: Adrian, a single man who wants to buy a house in five years, read an artide that recommended a down…

A: The amount borrowed will be equal to the present value of all the future payment made at the given…

Q: Robin has taken out a loan for $485,000 from Mammon Financial, Inc. that provides pay off the…

A: in this problem we have to find out present value FACTOR and from that we can find out period…

Q: After four years in college, Josie owes $104000 in student loans. The interest rate on the federal…

A: Let the amount in federal loans be "$X" , therefore amount in private bank loans would be…

Q: When Mary had 4 years left in college, she took out a student loan for $15,110. The loan has an…

A: Loan Amount = 15,110 Time Period in college = T = 4 years Time Period for loan repayment = N = 36…

Q: Carlos purchased a house for $230,000; he paid $11500 as a down payment and financed the balance…

A: Value of House is $230,000 Down Payment is $11,500 Therefore, Loan Amount is : =$230,000-$11,500…

Q: Darwin is a young entrepreneur trying to keep his business afloat. He has missed two payments to a…

A: We will use the concept of time value of money here. As per the concept of time value of money the…

Q: Morgan received a $29,050 loan from a bank that was charging interest at 3.25% compounded…

A: Loan is the value or an amount which is borrowed from other sources like banks for a finite period…

Q: Sarah secured a bank loan of $200,000 for the purpose of purchasing a home. The mortgage is to be…

A: Calculation for remaining balance for repaying loan after 5 years is shown below: Hence, the…

Q: Gilbert got a loan of P100,000 from a local lending agency at 13% compounded annually. Their…

A: We can solve this in excel using the "goal seek" function. First of all make a loan amortization…

Q: Jason received a 10-year non-subsidized loan of $40,000 at an annual interest rate of 6%. What are…

A: Loan amount refers to the amount that is borrowed by the borrower for fixed time period at fixed…

Q: Ian loaned his friend $20,000 to start a new business. He considers this loan to be an investment,…

A: Total Loaned amount is $20,000 Interest rate is 6% Time period is 4 years To Find:- Annual Payment…

Q: 16, Ronald admitted he received a small loan of 1 million dollars from his father. If he paid back…

A: The given problem can be solved using PMT function in excel. PMT function computes installment…

Q: mary, a college student, needs to borrow $8000 today for her tuition. She agrees to pay back the…

A: Loan is referred as the amount of fund is given to a party in exchange of repayment of principal…

Q: Cathy borrowed $24,000 to buy a new car and expects to pay $400 per month for the next 3 years to…

A: Compound interest is also interest on interest that is the interest which is accumulated on the…