A car valued at $11,400 can be purchased for 10% down and end-of-month payments of $286.21 for three-and-a-half years. What is the nominal annual rate of interest compounded monthly?
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A car valued at $11,400 can be purchased for 10% down and end-of-month payments of $286.21 for three-and-a-half years. What is the nominal annual rate of interest compounded monthly?
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- You buy items costing $800 and finance the cost with a fixed loan installment for 18 months at 5% simple interest per year. What is the finance charge? What is the monthly payment?you recieve a credit card offer that charges interest at 1.75% per month compounded monthly. What is the nominal annual interest rate?A car valued at $21,500 can be purchased for 12% down and monthly payments of $450 for four years. What is the nominal rate of interest compounded annually? The nominal rate of interest is % compounded annually. (Round to two decimal places as needed.)
- Assume that you can get a loan from NCB for $264,500 for three years to buy an item of your choosing. The loan must be repaid in 36 equal monthly payments. The annual interest rate on the loan is 12 percent of the unpaid balance. How large are the monthly payments?You take out a $7,000 car loan that calls for 60 monthly payments starting after 1 month at an APR of 12%. a. What is your monthly payment? b. What is the effective annual interest rate on the loan? c. Now assume the payments are made in five annual year-end installments. What annual payment would have the same present value as the monthly payment you calculated?you receive a credit card offer that charges interest at 1.75% per month compounded monthly. What is the effective annual interest rate?
- You take one-year installment loan of $1000 at an interest rate of 12% per year (1% per month) to be repaid in 12 equal monthly payments. a) What is the monthly payment? b) What is the total amount of interest paid over the 12-month term of the loan?If you borrow $5,300 at $900 interest for one year, what is your annual interest cost for the following payment plan? (Round the final answers to 2 decimal places.) Effective rate a. Annual payment % b. Semiannual payments % c. Quarterly payments % d. Monthly payments %If you borrow $5,300 at $400 interest for one year, what is your annual interest cost for the following payment plan? (Round the final answers to 2 decimal places.) a. Annual payment b. Semiannual payments c. Quarterly payments d. Monthly payments Effective rate % op % %
- You take out a $9,000 car loan that calls for 36 monthly payments starting after 1 month at an APR of 9%. What is your monthly payment? Note: Do not round intermediate calculations. Round your answer to 2 decimal places. What is the effective annual interest rate on the loan? Note: Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places. Now assume the payments are made in three annual year-end installments. What annual payment would have the same present value as the monthly payment you calculated? Note: Do not round intermediate calculations. Round your answer to 2 decimal places.Suppose you owe $1,000 on your credit card. The annual percentage rate (APR) is 12%, compounded monthly. The credit card company says your minimum monthly payment is $14.60. a. If you make only this minimum payment, how long will it take for you to repay the $1,000 balance (assuming no more charges are made)? b. If you make the minimum payment plus $7.64 extra each month (for a total of $22.24), how long will it take to repay the $1,000 balance? c. Compare the total interest paid in Part (a) with the total interest paid in Part (b). months for you to repay the initial balance. (Round to the nearest whole number.) b. It will take months for you to repay the initial balance. (Round to the nearest whole number.) c. The difference in the total interest paid in Part (a) and Part (b) is $. (Round to the nearest dollar.) a. It will takeA payday loan company charges a $45 fee for a $550 payday loan that will be repaid in 18 days.Treating the fee as interest paid, what is the equivalent annual interest rate?Round your answer to the nearest hundredth of a percent.
