You borrow $5,000 right now at an interest rate of 1% per month. You agree to begin repaying the loan 25 months from now in uniform monthly payments spread over the following 3 years (months 25 to 60). Draw the cash flow diagram. Question 1 How much is your monthly repayment amount for months 25 thru 60? Round your answer to the nearest dollar.

You borrow $5,000 right now at an interest rate of 1% per month. You agree to begin repaying the loan 25 months from now in uniform monthly payments spread over the following 3 years (months 25 to 60). Draw the cash flow diagram. Question 1 How much is your monthly repayment amount for months 25 thru 60? Round your answer to the nearest dollar.

Pfin (with Mindtap, 1 Term Printed Access Card) (mindtap Course List)

7th Edition

ISBN:9780357033609

Author:Randall Billingsley, Lawrence J. Gitman, Michael D. Joehnk

Publisher:Randall Billingsley, Lawrence J. Gitman, Michael D. Joehnk

Chapter4: Managing Your Cash And Savings

Section: Chapter Questions

Problem 7FPE: Calculating interest earned and future value of savings account. If you put 6,000 in a savings...

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Use the tables in Appendix B to answer the following questions. A. If you would like to accumulate $2,500 over the next 4 years when the interest rate is 15%, how much do you need to deposit in the account? B. If you place $6,200 in a savings account, how much will you have at the end of 7 years with a 12% interest rate? C. You invest $8,000 per year for 10 years at 12% interest, how much will you have at the end of 10 years? D. You win the lottery and can either receive $750,000 as a lump sum or $50,000 per year for 20 years. Assuming you can earn 8% interest, which do you recommend and why?
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