You take out an installment loan to purchase a sailplane costing $34,200. You make a down payment of $8,600 and finance the balance by making monthly payments of $1,156.72 for 24 months. Use the APR formula to find the APR.

Q: Sam would like to use the PMT function in Excel to calculate the monthly payments on a car loan of…

A: There are two types of annuities, i.e., (i) annuity due and (ii) ordinary annuity. An annuity can be…

Q: A computer with software costs $2,941, and Catherine Stevens has agreed to pay a 17% per year…

A: Given,   Cash price of computer = $ 2,941 Rate per 18 months = 0.17/12 * 18 = 25.5%

Q: Miguel purchased a hot tub costing $5,010 by taking out an installment loan. He made a down payment…

A: USING EXCEL RATE FUNCTION AND APR FORMULA

Q: monthly payment amount be

A: An annuity is the regular payment of an amount at an equal interval. It is a payment of a fixed…

Q: You want to buy a new sports car from Muscle Motors for $84,000. The contract is in the form of a…

A: Present Value = P + P * [ { 1 - ( 1 + r )-(n-1) } / r ]   P = Periodic Payment r = rate per period n…

Q: You finance a $500 car repair completely on credit, you will just pay the minimum payment each month…

A: Given: Finance amount = $500 Minimum payment rate = 4% APR (Annual percentage rate) = 18.99%…

Q: Miguel purchased a hot tub costing $5,010 by taking out an installment loan. He made a down payment…

A: The Annual percentage rate(APR) is the percentage rate that shows the interest rate calculates on…

Q: Miguel purchased a hot tub costing $5,030 by taking out an installment loan. He made a down payment…

A: Amount of loan = Purchase cost - Down payment = $5,030 - $1300 = $3730

Q: You purchase an RV by making a down payment of 2.56%, compounded monthly, and require you to make 36…

A: Down payment = $10,700 Monthly payment (P) = $1498.75 Interest rate = 2.56% Monthly interest rate…

Q: Consider a student loan of $17,500 at a fixed APR of 12% for 25 years. a. Calculate the monthly…

A: Given: Loan Amount = $17500 APR = 12% Number of years = 25

Q: A car was bought on an installment basis with a monthly installment of 30,000 for 60 months. If the…

A: Monthly payment (P) = $ 30,000 Number of monthly payments (N) = 60 Annual interest rate = 12%…

Q: You have just purchased a car and taken out a $50,000 loan. The loan has a five-year term with…

A: The annual interest rate that is charged by the lenders or at which the investors earn additional…

Q: You are purchasing a $18,000 used automobile, which is to be paid for in 36 monthly installments of…

A: Given:

Q: If you buy a computer directly from the manufacturer for $2,509 and agree to repay it in 60 equal…

A: This is the case of present value of annuity. Annuity is equal stream of cashflow at regular…

Q: A new furniture set costs $ 2900. If you make a down payment of $ 400 and finance the rest at a rate…

A: Cost of furniture = $ 2900 Down payment = $ 400 Mortgage amount (PV) = 2900-400 = $ 2500 Interest…

Q: A fishing boat is purchased for $6,300 and financed for 36 months. If the total finance charge is…

A: Purchase amount = $6,300 Time period = 36 months  Finance charge = $1,255

Q: You want to buy a new sports car from Muscle Motors for $44,000. The contract is in the form of an…

A: The monthly payment can be calculated with the help of present value of annuity due function.

Q: If you buy a computer directly from the manufacturer for $2.634 and agree to repay it in 36 equal…

A: Present Value of Ordinary Annuity refers to the concept which gives out the discounted or today's…

Q: how much would you save or lose by taking the debt consolidation company’s offer?

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

Q: you are taking a $100,000 mortgage loan for your business to be repaid over 5 years in equal…

A: Mortgage loan is the loan which is given by keeping something as collateral. This loan is for…

Q: A new furniture set costs $ 2100. If you make a down payment of $ 300 and finance the rest at a rate…

A: In this question the monthly payment is to be find for the loan. Loan can be calculated by deducting…

Q: consider a student loan of 17,500 at a fixed apr of 12% for 25 years. what is the monthly payment

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

Q: You want to buy a new sports car from Muscle Motors for $79,000. The contract is in the form of a…

A: Price of a new sports car is $79,000 Time period is 48 months Interest rate is 7.3% To Find:…

Q: Suppose you take out an auto loan for $25,500 over a period of six years at an APR of 7.5%.…

A: The annual percentage rate refers to the yearly rate of interest paid for a loan or received from an…

Q: You have taken out a home loan of $400,000 at an interest rate of 3.6% per annum compounded monthly.…

A: A loan is a debt amount borrowed by one person from another person. A loan payable in equivalent…

Q: Consider a student loan of $20,000 at a fixed APR of 9% for 20 years. a. Calculate the monthly…

A: Monthly Mortgage Payment refers to the payment that is to be paid monthly for a specific period of…

Q: PLEASE DO THE FOLLOWING ON AN EXCEL SPREADSHEET: Consider a loan of $1,000,000 with the nominal…

A: Given information : Loan amount $1,000,000 Annual interest rate 10% Time period (years) 15…

Q: A homebuyer wishes to take out a mortgage of $200,000 for a 40-year period. What monthly payment is…

A: Mortgage loan=$200,000 Time period=40 years Interest rate=11% We can calculate the monthly payment…

Q: Tim Houston purchased a wall unit for $2,300. He made a $600 down payment and financed the balance…

A: Given, Wall unit Cost =$2300 Down payment =$600 Loan Installment = 48 months Payments = $43.5 per…

Q: Suppose you buy an appliance costing ​$2350 at a store charging 13​% ​add-on interest, you make a…

A: Computation of principal amount:

Q: Miguel purchased a hot tub costing $5,030 by taking out an installment loan. He made a down payment…

A: Monthly payments interest rate is calculated by excel function RATE, where the inputs are: pv:…

Q: A new furniture set costs $ 2700. If you make a down payment of $ 300 and finance the rest at a rate…

A: The amount of repayment is the number of installments multiply by the installment amount. and the…

Q: Miguel purchased a hot tub costing $5,010 by taking out an installment loan. He made a down payment…

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

Q: Suppose you are thinking of availing a loan of P100,000 at Pag-ibig Funds for house repairs after…

A: A loan refers to the borrowed amount taken by a person from the lender in case of a shortfall of…

Q: You can afford monthly deposits of $110 into an account that pays 4.5% compounded monthly. How long…

A: Given:

Q: You have taken out a home loan of $400,000 at an interest rate of 3.6% per annum compounded monthly.…

A: Given question: Amount of loan : $400,000 Rate of interest : 3.6% per annum  Number of payments :…

Q: You want to buy a new sports car from Muscle Motors for $87,000. The contract is in the form of a…

A: Here, To Find: Monthly payment =?

Q: You currently have two loans outstanding: a car loan and a student loan. The  car loan requires that…

A: In this question equal payment is paid monthly in future. So we have to find present value of loan.

Q: You take out an installment loan to purchase a sailplane costing $34,500. You make a down payment of…

A: Installment loans are a kind of loan in which the borrower and lender come into an agreement of…

Q: Your business requests a 3-month loan for $450,000. What will be the interest paid at the end of the…

A: Loan Amount = $ 450,000 Business Risk = 2.0% LIBOR = 1.8%

Q: A). Sun will be starting a 5-year training program in 23 months’ time. His mother, Moon, has…

A: Note: It is a case where the number of questions asked is more than one and no specified question is…