roblem 4. You have a $600,000 mortgage on a 20 year amortization with a 2.55% interest rate, payments are monthly, calculate the value a ayments.
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- Cost of Bank Loan Mary Jones recently obtained an equipment loan from a local bank. The loan is for 15,000 with a nominal interest rate of 11%. However, this is an installment loan, so the bank also charges add-on interest. Mary must make monthly payments on the loan, and the loan is to be repaid in 1 year. What is the effective annual rate on the loan (assuming a 365-day year)?A bank has agreed to lend you $127,800 for a home loan. The loan will be fully amortized over 57 years at 12.98%, with .13 points. The loan payments will be monthly. The closing cost is estimated to be $2,168. Calculate the prepaid interest. O $169.18 O $167.72 O $196.60 O $177.71TEST I. PROMLEM SOLVING: A bank offers 0.25% annual simple interest rate for a particular deposit. How much interest will be earned if 1 million pesos is deposited in this savings account for 1 year? 1. Sunnose vour father denosited in vour bank account P10.000 at an annual interest rate of 0.5%
- You plan to borrow $43,100 at an 8.0% annual interest rate. The terms require you to amortize the loan with 7 equal end-of- year payments. How much interest would you be paying in Year 2? a. $3,110.63 b. $3,061.57 c. $7,665.11 d. $8,278.32 e. $3,448.00Suppose a bank offers you a 10% interest rate on a 25-year mortgage to be paid back with monthly payments. Suppose the most you can afford to pay in monthly payments is $950 How much of a mortgage could you afford? $103,744 58 $101,544.78 $105,487.54 $104,544 87You plan to borrow $46,400 at a 7.6% annual interest rate. The terms require you to amortize the loan with 7 equal end-of-year payments. How much interest would you be paying in Year 2? a. $3,526.40 b. $8,790.61 c. $8,169.71 d. $3,126.32 e. $3,173.51
- Paying off credit card debt: 0.0122 What will be your monthly payment if you have $10,000 in credit card debt at 18% interest and you want to pay it off in 3 years. Assume that you no longer use your credit card. em vinoCAN U PLEASEE PLEASE PLEASE HELP ME WITH THISS 21. A bank recently loaned $18,204.00 to buy a car. The loan is for 4 years and is fully amortized. The nominal rate on the loan is 9.2%, and payments are made at the end of each month. What will be the remaining balance on the loan after you make payment number 35? 4,106.14 5,606.14 5,106.14 4,606.14 6,106.14Suppose that you borrow$ 12000 at interest rate of 5% per year. If you must be repaid the loan in equal end of year payments over the next 4 years, how much must you repay at the end of each year? O a. $3672 Ob. $3384 Oc. $2672 O d. $2384
- The following loan is a simple interest amortized loan with monthly payments. $7000, 7%, 4 years (a) Find the monthly payment. (Give your answer to the nearest cent.) Payment $189.58 (b) Find the total interest for the given simple interest amortized loan. (Give your answer to the nearest cent.) Total interest $ 2100 XQuestion No :-1 You have an annual installment loan of Rs.150,000 from ABC bank for 5 years. If the loan requires an annual interest rate of 5% and the installments are to be paid at the beginning of each year, prepare a detailed breakup about the loan repayment indicating for the beginning of each year, the annual installment, the interest paid, the principal repaid and the remaining principal?Finding the Interest Rate: Concept Connection Example 6-3 (page 237) 18. What interest rates are implied by the following lending arrangements? a. You borrow $500 and repay $555 in one year. b. You lend $1,850 and are repaid $2,078.66 in two years. c. You lend $750 and are repaid $1,114.46 in five years with quarterly compounding. d. You borrow $12,500 and repay $21,364.24 in three years under monthly compounding. (Note. In parts c and d, be sure to give your answer as the annual nominal rate.) Lasher, William R.. Practical Financial Management (Page 276). South-Western College Pub. Kindle Edition.