Money borrowed today is to be paid in 7 equal payments at the end of each quarter. If the interest is 1% compounded quarterly, how much was initially borrowed if quarterly payment is P 23,758?
Q: An annuity that pays $1100 at the end of each month for 23 years sells for $120,000. What was the…
A:
Q: Consider a loan of 1,000,000 which is to be amortized by 60 monthly payments. The interest rate is…
A: Loan (mortgage) amortization schedule refers to a schedule which is prepared to shows the periodic…
Q: If $570 is borrowed for 240 days at 5.5% simple annual interest, how much will be repaid at the end…
A: Borrowed amount (P) = $ 570 Interest rate (r) = 5.5% Period (t) = 240 days = 240/365 Years
Q: How much interest is earned in 5 years on P50,000 deposited in a bank paying 3% interest per annum,…
A: Compound Interest: It is the interest on a deposit or loan computed based on the initial principal…
Q: Determine the periodic paymen $80,000 borrowed at 8% for 9 years, with monthly payments PMT = $
A: PMT can be calculated by using this formula PMT =PV*i1-1(1+i)n Where PV =Loan amount i=…
Q: Determine the principal remaining after 36 monthly payments have been made for a 5-year loan of…
A: Loan (L) = P 40000 n = 5 years = 60 months Interest rate = 8% quarterly compounded Let r = Monthly…
Q: 1000 dollars is deposited into an account at the beginning of the year and the value at the end of…
A: Rate of return is the return earned on an investment. It is always expressed in percentages. Rate of…
Q: What is the present equivalent of a uniform series of quarterly payments of $4,500 each for four…
A: Annual interest rate = 8% Number of compounding per year = 6 Effective annual rate = (1+0.08/6)6-1…
Q: A $183900 Ioan is repaid by 23 payments of $2500 each at the end of quarter, followed by 29 payments…
A: Loan is contract between lender & borrower where lender provide funds to borrower for definite…
Q: A loan is released today to be paid in 6 equal payments at the end of 6 quarters. If the interest is…
A: The loan is the amount that a borrower receives from the lender and pays it back in future along…
Q: Deposits of $93.00 are made at the end of every month for 2.5 years. What will the deposits amount…
A: The given problem can be solved using FV function in excel. FV function computes future value for…
Q: Determine the principal remaining after 38 monthly payments have been made for a 5-year loan of…
A: The monthly payments of the loan carry the payment of principal and payment of interest on loan and…
Q: Suppose you borrowe9 $12,000 at an interest rate of 8%, compounded monthly over 36 months. At the…
A: Computation:
Q: A debt of $36,000 is repaid over 10 years with payments occurring quarterly. Interest is 8%…
A: The periodic payment would occur on each quarter then, first of all, we have to calculate the…
Q: What is the nominal annual rate of interest compounded quarterly if a loan of $21,500 is paid in…
A: Semi-annual effective interest rate is calculated as below in the excel:
Q: A loan of $245,000 is to be repaid in equal quarterly payments over a period of 6 years. If the…
A: Loan = 245,000 Time Period (N) = 6 years i.e. 24 quarters Number of compounding periods = 4 Interest…
Q: Money borrowed today is to be paid in 6 equal payments at the end of 6 quarters. If the interest is…
A: Here, Quarterly Payment is P2,000 Interest Rate is 12% Compounding Period is Quarterly i.e. 4 Time…
Q: How much do ten P 4,533 quarterly payments amount at present, if the interest rate is 2 compounded…
A: The amount of payments made at the beginning of each year is termed as an annuity due. It indicates…
Q: Money borrowed today is to be paid in 6 equal payments at the end of six quarters. If the interest…
A: P =A[(1 + i)n- 1 ]/(1 + i)ni Wherein i Means Rate of Interest A Means Annuity Payment N means…
Q: What is the principal remaining after 20 monthly payments have been made on a $20,000 five-year…
A: A loan amortization table is a schedule of payment of loan which includes the bifurcation of…
Q: How much is the amount of interest on a loan of $12330.7 that is borrowed today and is to be repaid…
A: Future value refers to the value of a current asset on some future date affected by the interest…
Q: If a sum of $3000 is borrowed for six months at 9 percent simple interest per year, what is the…
A: A method of computing interest amounts in which the compounding effect was not considered by the…
Q: If a $27,000 loan is repaid by end of month payments of $640 and interest is at 9% compounded…
A: Loan amount = $ 27000 Monthly payment = $ 640 Interest rate = 9% Monthly interest rate = 9%/12 =…
Q: Determine the interest rate per year, compounded quarterly, which is needed for a principal amount…
A: Given Present value (PV) = OMR 27000 Future value (FV) = OMR 43995.75 Period = 8 years Interest…
Q: If you borrow $5000 that you agree to repay in 8 equal quarterly payments at 2.8% interest per…
A: given, Principal = $5000 r=2.8% per quarter number of quarter = 8
Q: A debt payment of $8000 is due in 108 months. If money is worth 6.7% p.a. compounded annually, find…
A: (a) Debt payment=FV=$8000 Time=108 months=9 years Interest rate=6.7% p.a.
Q: Money borrowed today is to be paid in 8 equal payments at the end of each quarter. If the interest…
A: Quarterly payment (Q) = P 37291 n = 8 payments r = 1% per annum = 0.25% quarterly
Q: What is the discounted value of $844 paid at the end of every three months for 10 years if…
A: Computation:
Q: John Johnson borrowed $15,550 from a bank for three years. If the quoted rate (APR) is 5.20 percent,…
A: In the given question we need to compute the effective annual interest rate (EAR) if the nominal…
Q: If $5500 is deposited at the end of each quarter in an account that earns 7% compounded quarterly,…
A: Given data; deposit amount = $5500 rate of interest = 7% Future value of annuity = $90,000
Q: Mr. Hyson borrowed $15,550 from the bank for 3 yrs. If the quoted rate (APR) is 6.55% and the…
A: The Effective Annual Rate (EAR) for daily is calculated by compounding daily rate wit the number of…
Q: Money borrowed today is to be paid in 13 equal payments at the beginning of each quarter. If the…
A: in this we have to find out present value FACTOR and than find out present value.
Q: A financial institution offers a nominal interest rate of 12% while compounding its accounts…
A: Using excel NPER function
Q: A loan of P50,000 is to be amortized by paying quarterly in 1 year. If money is worth 10% compounded…
A: Quarterly payment = Q Loan amount (L) = P 50000 r = 10% per annum = 2.5% per quarter n = 1 year = 4…
Q: What is the present value of 5,275 due in 6 months if 11% interest is paid
A: Future Value = (P * R * T) + PWhere P = Present ValueR = Rate of InterestT = Time Period
Q: What amount must be deposited today, if, starting one year from today, you wish to make 15 equal…
A: Given, annual withdrawals $3,450. Number of payments 15. Interest rate is 0%.
Q: Suppose that you deposit $750 into a bank account today. If the bank pays 8 percent APR per year,…
A:
Q: A payment of $2,690 was due two years ago, and a payment of $1,650 is due today. What single payment…
A: This question can be solved in light of time value of money and future value. The formula to…
Q: Money borrowed today is to be paid in 6 equal payments at the end of 6 quarters. If the interest is…
A: A study that proves that the 1value of money today is higher than the future value of money is term…
Q: If $550 is deposited at the end of each quarter into an account paying 8% compounded quarterly, how…
A: The present value is the value of the sum received at time 0 or the current period. It is the value…
Q: What value of r will make the future value of the account P5, 200 in six months?
A: Future Value: It is the future worth of the present cashflows or the present sum of money. Future…
Q: 1. If P5,000 is invested in a time-deposit for 2 years in a bank that offers 4% annual interest…
A: Future Value: The future value is the amount that will be received at the end of a certain period.…
Q: Consider a loan of 800,000 which is to be amortized by 60 monthly payments. The interest rate is 12%…
A: Solution:- When an amount is borrowed, it can either be repaid as lump sum payment or in…
Q: Merchandise is received for $25,000 now and $50,000 in 6 months. If $10,000 is paid within a month,…
A: Solution:- Balance due in three months means the value outstanding at third period.
Q: Money borrowed today is to be paid in 9 equal payments at the beginning of each quarter. If the…
A: Compound Interest: Compound interest is calculated using the principal of a loan or deposit–as well…
Q: If the sum of P12,000.00 is deposited in an account earning interest rate of 9% compounded…
A: Future Value: The future value is the amount that will be received at the end of a certain period.…
Q: MONEY BORROWED TODAY IS TO BE PAID IN 6 EQUAL PAYMENTS AT THE END OF 6 QUARTERS. IF THE INTEREST IS…
A: Borrowing is defined as the term, which used to allow the person to spread their funds around with…
Step by step
Solved in 3 steps with 2 images
- MONEY BORROWED TODAY IS TO BE PAID IN 6 EQUAL PAYMENTS AT THE END OF 6 QUARTERS. IF THE INTEREST IS 12% COMPOUNDED QUARTERLY, HOW MUCH WAS INITIALLY BORROWED IF THE QUARTERLY PAYMENT IS P2,000.00?Money borrowed today is to be paid in 6 equal payments at the end of six quarters. If the interest is 12% compounded quarterly, how much was initially borrowed if the quarterly payment is P 2000.00?Money borrowed today is to be paid in 8 equal payments at the end of each quarter. If the interest is 1% compounded quarterly, how much was initially borrowed if quarterly payment is ₱ 37,291?
- A loan is released today to be paid in 6 equal payments at the end of 6 quarters. If the interest is 16% compounded quarterly. How much is initially borrowed if quarterly payment is P2,500.00How much is the amount of interest on a loan of $12330.7 that is borrowed today and is to be repaid in 6.4 years if the interest charged is 6.98% compounded quarterly?Suppose that one has a bank loan for P15,584.48, which is to be repaid in equal end-of-month installments for 9 years with a nominal interest rate of 0.114 compounded monthly. What is the amount of each payment?
- In a certain account providing an interest rate of r compounded quarterly, P2, 500 is deposited every end of the quarter. What value of r will make the future value of the account P5, 200 in six months?What amount must be deposited today, if, starting one year from today, you wish to make 15 equal annual withdrawals of $3,450 from an account offering an annual stated rate of interest r = 0%?Money borrowed today is to be paid in 13 equal payments at the beginning of each quarter. If the interest is 2% compounded quarterly, how much was initially borrowed if quarterly payment is ₱ 42,003 if payments are done every beginning of the month?
- What is the present value of loan payments of$515made at the end of every month for 3 years and 6 months? Interest is9.85%compounded annually?. If the sum of P12,035 is deposited in an account earning interest at the rate of 9% compounded quarterly, what will it become at the end of 8 years?How much do ten ₱ 6,945 quarterly payments amount at present, if the interest rate is 3 compounded quarterly if payments are done every beginning of the month?