You have taken a loan of $244,000. You can afford to pay monthly payments of $1921.13. This loan will be repaid in 20 years. What is the nominal annual rate of interest charged on this loan? Answer as a percentage, correct to 2 decimals
Q: How much do you need to save each year for 30 years in order to have $775,000, assuming you are…
A: Time = t = 30 years Future value = fv = $775,000 Interest rate = r = 8%
Q: Landow Company uses variable costing for internal purposes and wants to restate income to that of…
A: Income under absorption costing is a method of calculating a company's income or profit that…
Q: Which of the following is true concerning short sales of exchange-listed stocks? Question 6…
A: Short selling is when you borrow a stock you don't own from the broker and sell it. Then when the…
Q: ive typing answer with explanation and conclusion unit rate of selling 3 jars ror 24.50 what is…
A: The unit rate refers to the price of a single product to be taken for purchase or sale of the…
Q: Replacing old equipment at an immediate cost of $70,000 and an additional outlay of $10,000 three…
A: Net present value is an important capital budgeting tool. A project is regarded as feasible if its…
Q: The Great Fish Taco Corporation currently has fixed operating costs of $15,000, sells its pre-made…
A: Breakeven point is the number of boxes to be sold so that the company incurs no profit nor loss.…
Q: Your company is considering the purchase of a new ship for $8 million. The forecasted revenues are…
A: Net present value is the technique used in capital budgeting to evaluate the acceptability of the…
Q: Medco Corporation can sell preferred stock for $84 w $5 per share in dividends. a. Compute the cost…
A: Cost of preferred stock =Dividend per share(Price per share - Flotation cost) First, we need to…
Q: A donor gives $1000.00 shares in Apple stock and stipulates the proceeds of the stock that are not…
A: The donation of shares in Apple stock with the stipulation that the proceeds are not to be spent but…
Q: Imagine you’re renting an apartment with a friend after high school. Your friend wants to get…
A: A person’s credit history is a record of that person’s use of credit over time. This determines a…
Q: You are considering investing in one of two projects, which have the following returns and…
A: On the basis of expected return of both projects irrespective of the risks of them, Project B…
Q: Alexander can purchase a new car for $25,000. Alternatively, in addition to a down payment of…
A: Present value is the estimation of the current value of future cash value which is likely to be…
Q: Problem #2. Your neighbor purchased a sailboat for $9,810. He made a downpayment of $2,000 and…
A: The formula for Annual Percentage Rate (APR) is: APR = [(Finance charge / Amount financed) x (12 /…
Q: 2. Follie Corp.'s bonds have a 20-year maturity, a 7.80% semiannual coupon, and a par value of…
A: Step 1 Bond Price The bond price is the discounted present value of the future cash flow that a bond…
Q: The yield on 3-month Treasury bill is 3.5%, the investor's risk aversion is 2.5, and standard…
A: To estimate the expected rate of return of the market, we can use the Capital Asset Pricing Model…
Q: A donor gives the oroganization cash and specifies that the money is to be usedin 4 years. Is this…
A: Step 1 Net Asset The sum of all contributions received with donor restrictions is known as net…
Q: Problem 9: A young engineer bought second hand car worth 15B, CDE.00 if paid in cash. On the…
A: First, let us put numbers to the alphabets A=1 B=5 C=7 D=6 E=8 Car worth = 15B,CDE =…
Q: Calculate the durations and volatilities of securities A, B, and C. The interest rate is 8%,…
A: To calculate the duration and volatility of each security, we will use the following formulas:…
Q: What are the general purposes of using mutual funds in individual investment portfolios
A: Mutual Funds offer a number of benefits or advantages to investor and the main basic idea behind…
Q: K If there aren't many homes on the market, you'll have buyers competing for the same houses, which…
A: The law of supply and demand is an economic principle that states that the price and quantity of a…
Q: Find the monthly payment for the 15- year option.
A: Data given: Price of home=$170,000 Down payment=15% n=15 years Rate=7.5% Required: Find the…
Q: Limited partners benefit from which of the primary advantages? Their responsibility for the firm's…
A: Limited partnership is a type of organizational structure where the two or more persons start a…
Q: MCQ & True/false : International Financial Management: 1. Changes in relative inflation rates can…
A: Inflation- It can be described as the increase in the general price level of goods or services, or…
Q: HORIZONTAL ANALYSIS ( Requirement: Perform a horizontal analysis to the comparative balance sheet…
A: When reviewing a company 's accounting records over a number of times, horizontal analysis is used.…
Q: An investor purchased a 182-day, $100,000.00 T-bill on its issue date for $98,838.39. After holding…
A: T-bills are debt instruments provided by the government that has a maturity of one year or less.…
Q: a potential project is currently under review an investment of $87000 would be necessary for…
A: B/C ratio is ratio of present value of benefits to initial investment and if B/C B/C ratio is more…
Q: Josh wants to borrow money for a kitchen renovation. He has saved $2500 already but the cost…
A: Loan refers to an amount that is taken by the borrower from the lender whose repayment is to eb…
Q: A $100,000 mortgage loan at 6.3% compounded semi-annually has a 25-year amortization period.…
A: A mortgage is a covered loan borrowed to purchase a property. The property itself acts as collateral…
Q: Jill has a liability of 6000 due in four years. This liability will be met with payments of A in two…
A: To use full immunization strategy, we need to make sure that the present value of the assets will be…
Q: Prices of zero-coupon bonds reveal the following pattern of forward rates 44 B In addition to the…
A: Step 1 Bond coupons, bearer bonds, and coupon bonds are all terms used to describe bonds that have…
Q: When the last sale price of N&N is $10, I enter a stop loss order to sell at $8 trailing by $2. In…
A: Stop loss order It instructs the broker to sell security if the market price drops to or below a…
Q: Melissa visits two competing banks. National Bank and Trust is offering a 5 year CD with an annual…
A: Future Value: It represents the expected worth of the present sum of the amount. It is estimated…
Q: Most products have at least some element of service, such as a warranty, documentation and…
A: Product service refers to the support and assistance provided by a company to customers before,…
Q: Rosa has a flow-through of net income from a general partnership of $160,000 for 2020. What is the…
A: The self-employment tax is the tax you need to pay on your net income if you are a self-employed…
Q: What if she had made the purchase with her credit card and paid off her bill in full promptly?…
A: Credit Card: It represents a product issued by the banks allowing the cardholders by paying for…
Q: A stock has had the following year-end prices and dividends: Year Price $65.03 123456 71.90 77.70…
A: Here,
Q: 1. What is the estimated volume sold of the Quick Fresh Car Wash (OFCW) bond? COMPANY (TICKER)…
A: A bond quote shows the coupon rate of the bond, the date of maturity, the last price traded, the…
Q: "Consider a firm with sales of $847M, operating costs of $440M, depreciation of $193M, interest…
A: Operating cash flow (OCF) is a financial metric that represents the cash generated or used by a…
Q: If a credit card you are interested in has an APR of 24%, what would the Daily Periodic Rate (DPR)…
A: The Annual Percentage rate (APR) is the percentage rate that shows the interest rate calculates on…
Q: A loan is amortized over 9 years, with monthly payments at a nominal rate of 9% compounded monthly.…
A: Given the following: First payment, P = $1,000 Nominal rate= 9% Term = 9 years Growth rate, g =…
Q: Rod Manufacturing Company is trying to calculate its cost of capital for use in making a capital…
A: Dividend is the distribution of profits by a company to its shareholders. Data given: Historical…
Q: A company has completed the operating budget and the cash budget. It is now preparing the budgeted…
A: The answer to the question given below :
Q: Computer stocks currently provide an expected rate of return of 21%. MBI, a large computer company,…
A: Growth Rate is rate which shown the percentage change in dividend / price of the stock. Higher the…
Q: Consider a 3-month European call option on a non-dividend-paying stock. The current stock price is…
A: The call option is an instrument that allows its holder to buy the underlying asset at a fixed…
Q: A university student painter is considering the purchase of a new air compressor and paint gun to…
A: Working Note#1 Calculation of operating cash flow: Snapshot of cell reference: Snapshot of output:…
Q: You need a 30-year, fixed-rate mortgage to buy a new home for $400,000. Your mortgage bank will lend…
A: The value of the home loan is $400,000. The monthly payment is $1,000. The annual interest rate is…
Q: Equity = 6,300,000 Debt = 3,920,000 Preferred stock = 6,000,000 Cost of eqiuty = 10.91% cost…
A: The WACC of the company is the average return that the company provides to its stakeholders for…
Q: Section 529 college savings plans are state-sponsored. True False Question 2 Qualifying…
A: Answer 1: True Section 529 college savings plans are state-sponsored tax-advantaged…
Q: t say all answers above are incorrect, i need the yield on the debt percentage plz and thank u
A: The original solution that you have with you is incorrect. It's little unfortunate, but the fact is…
Q: Give only typing answer with explanation and conclusion What is the future value of a $2000…
A: Annuity value = $2000 time= 3 years rate of interest = 10%
Step by step
Solved in 2 steps with 2 images
- Use the table to find the monthly payments on the given loan. Amount Rate Time $63,000 12% 3 years table of monthly payments on a $1,000 loan. The monthly payments for this loan are? (Type an integer or a decimal.)Assume that interest is the only finance charge. Use financial calculator to answer the questions. How much interest would be paid on a $8,000 installment loan to be repaid in 48 monthly installments of $211.10? Round the answer to 4 decimal places. % per month What is the APR on this loan? Round the answer to 2 decimal places. %1. Suppose you borrow $16,000. The interest rate is 9%, and it requires 4 equal end-of-year payments. Set up an amortization schedule that shows the annual payments, interest payments, principal repayments, and beginning and ending loan balances. Round your answers to the nearest cent. If your answer is zero, enter "0".
- 1. Let's assume that a loan of $100,000 with an annual interest rate of 6% over 30 years pays monthly payments of $500. a. Calculate the accumulation rate b. Calculate the payment rate . c. Answer : How will the balance of the principal be at the end of the loan in relation to the original amount of the loan? Less, equal or greater? Provide calculations.If you borrow $9000 at an annual percentage rate (APR) of r (as a decimal) from a bank, and if you wish to pay off the loan in 3 years, then your monthly payment M (in dollars) can be calculated using: M = 9000 (er/12-1) / 1 - e-3r 1) Describe what M (0.035) would represent in terms of the loan, APR, and time. 2) If you are only able to afford a max monthly payment of $300, describe how you could use the above formula to figure out what the highest interest rate the bank could offer you and you would still be able to afford the monthly payments. In addition, determine the maximum interest rate that you could afford.If you borrow $7,500 at $550 interest for one year, what is your effective interest rate for the following payment plans? (Input your answers as a percent rounded to 2 decimal places.) a. Annual payment b. Semiannual payments c. Quarterly payments d. Monthly payments Effective Rate of Interest % % %
- Assume that interest is the only finance charge. Use financial calculator to answer the questions.How much interest would be paid on a $8,000 installment loan to be repaid in 48 monthly installments of $210.72? Round the answer to 4 decimal places. % per monthWhat is the APR on this loan? Round the answer to 2 decimal places. %Suppose you borrow $14,000. The interest rate is 11%, and it requires 4 equal end-of-year payments. Set up an amortization schedule that shows the annual payments, interest payments, principal repayments, and beginning and ending loan balances. Round your answers to the nearest cent. If your answer is zero, enter "0". Beginning Repayment Ending Year Balance Payment Interest of Principal Balance 1 $ fill in the blank 60 $ fill in the blank 61 $ fill in the blank 62 $ fill in the blank 63 $ fill in the blank 64 2 $ fill in the blank 65 $ fill in the blank 66 $ fill in the blank 67 $ fill in the blank 68 $ fill in the blank 69 3 $ fill in the blank 70 $ fill in the blank 71 $ fill in the blank 72 $ fill in the blank 73 $ fill in the blank 74 4 $ fill in the blank 75 $ fill in the blank 76 $ fill in the blank 77 $ fill in the blank 78 $ fill in the blank 79Question 2: You borrow a five-year $13,000 loan with monthly payments of S250. What is the annual percentage rate (APR) on the loan?
- Suppose you purchase a home and obtain a 15-year fixed-rate loan of $195,000 at an annual interest rate of 6.0%. a) What is your monthly payment? N: months I %: P.V: $ PMT: $ F.V: 0 P/Y: 12 C/Y: 12 b) Of the first month's mortgage payment, how much is interest? HINT: I=Prt Interest: I=$ c) Of the first month's mortgage payment, how much is applied to the principal? HINT: PMT - Interest Amount Applied to Principal: $ d) How much is your outstanding balance after the first month’s payment? HINT: Principal - Amount Applied to Principal Outstanding Balance after first payment: $1. If you borrow $2,400 and agree to repay the loan in four equal annual payments at an interest rate of 10%, what will your payment be? (Do not round intermediate calculations. Round your enswer to 2 decimal places.) Amount of payment b. What if you make the first payment on the loan immediately instead of at the end of the first year? (Do not round intermediate calculations. Round your answer to 2 decimal places.) Repayment amount %24 %241. Consider a loan at 4.125% APR on 6 years for a $23,000 car a. Estimate the monthly payment (using the average balance method). b. How much would you pay in total for interest?
