A man borrowed $300,000 from a finance company that charges interest at 16% compounded semi-annually. He promised to pay off the loan in twelve semi-annual payments. The first payment is to be made at the end of two years. Find his semiannual payment.

Q: Karen takes an 8-year car loan of $50,000 at 2.14%, compounded monthly. If the payments are done at…

A: Monthly Compounding Loan Amount = 50,000 Time Period of loan = 8 years or 96 months Interest rate =…

Q: Miss Clare Jarrett just closed a loan of $400 000 to assist with the purchase of equipment and…

A: Loan Amount = $400,000 Time Period = 5 Years Interest Rate = 8%

Q: John takes out a loan for $9900 at 12% interest compounded monthly and is making payments of $134 a…

A: The monthly payments are the monthly installments that is to be paid by the borrower on the amount…

Q: Dylan deposits $10,000 now and makes an additional deposit of $5,000 at the end of Year 3 in the…

A: Interest charged on the principal amount and the interest accrued is known as Compound Interest. It…

Q: Maria took out a loan for $7900 that charges an annual interest rate of 8.8% compounded quarterly.…

A: n=4 r=8.8/4/100=0.022 present value=7900

Q: John Doe has just been offered a home loan towards purchase of house that is being sold for…

A: Hi There, thanks for posting the question. But as per Q&A guidelines, we must answer the first…

Q: Greg purchased a house recently for $365,000.00. He plans to put a 20% down payment and borrows the…

A: Equivalent amount distributes present worth into equivalent uniform value over its useful life.

Q: Tim Houston purchased a wall unit for $2,400. He made a $600 down payment and financed the balance…

A: > Given data:> Calculation of  APR as follows below:> APR = ((Amount paid / Loan amount ) /…

Q: Find the amount that the balance decreases in year two.

A: Given Loan = 4000 period = 8 years interest rate = 9% To calculate the payment per period…

Q: Bryan received a loan of $42,000 from the bank at 3.25% compounded monthly. If she had to repay $350…

A: Given that: Interest rate r = 3.25% per year = 0.2708% per month Period n =3 year= 36 months…

Q: Luke borrows $200 000 from a bank to set up a medical practice. He agrees to pay a fixed interest…

A: Given: Loans = $200,000 Interest rate = 18.48% years = 10years

Q: Jeffery Wei received a 7 year non Subsidized loan of 32000 at an annual interest rate of 5.2%. What…

A: In a non-subsidized loan, the interest on the original loan granted is calculated at simple interest…

Q: Joshua received a loan of $8,000 at 6.02% compounded semi-annually from a credit union to use as…

A: Working capital represents the liquidity of a company as it shows the difference between the current…

Q: An engineer plans to borrow $100,000 to open his own consulting business. He must repay $2,150 a…

A: using financial calculator, N = 5*12 =60 PMT = -2150 PV= 100,000 FV = 0

Q: every six months, mahmood deposit $800 into an account paying 6% compounded semiannually. find the…

A: Present value (PV) = $800 Rate (r) = 6% or 0.06 Semiannually rate (r) = 0.0.3 (0.06/2) Time (n) = 30…

Q: Owen borrowed $28,500 at 9% compounded monthly to buy a car. The loan will be repaid with equal…

A: The loan schedule gives information to the lender and borrower about the loan payments due and the…

Q: Blake bought a new car and financed $⁢15,000 to make the purchase. He financed the car for 60 months…

A: A study that proves that the future worth of the money is lower than its current value due to…

Q: e borrows $200 000 from a bank to set up a medical practice. He agrees to pay a fixed interest rate…

A: Loans are paid by equal monthly payments that carry interest and loan payments.Given:Loans =…

Q: Abigail received a loan of $41,000 from the bank at 5.75% compounded monthly. If she had to repay…

A: Using Excel

Q: A student takes out a loan of $1,500 at the beginning of each semester (semi-annually) for 11…

A: A loan is a financial agreement in which a lender gives a borrower a certain sum of money; the…

Q: Corey received a $36,750 loan from a bank that was charging interest at 3.50% compounded…

A: We need to use loan amortization formula below to calculate semi-annual payment.  where P=Loan…

Q: What was the size of the periodic payments?

A: First, we need to determine the equivalent interest rate as the loan is compounded monthly, but the…

Q: Karen obtained a $25,000 loan at 4.5% compounded semiannually. a-1. What monthly payment will repay…

A: The present value concept is useful for borrowers to assess the affordability of a loan. By…

Q: compounded daily. Answer the questions below. Do not round any intermediate computations, and round…

A: More is compounding of interest more is annual effective interest rate and more is accumulated…

Q: Smith borrows 21,500 to purchase a new car. The car dealer finances the purchase with a loan that…

A: Loan amount = $21,500Number of loan terms = 4 yearsInterest rate for the 1st year = 0%Annual…

Q: Jasper purchased a car for 47,500. He paid a 20% down payment and financed the rest at 2.88 % for 6…

A: Loan is a value which is borrowed from the external sources like banks for a particular period and…

Q: Jeffrey Wei received a 6 year non-subsidized student loan of $30,000 at an annual interest rate of…

A: Present Value = $30,000 Interest Rate = 5.9% Time Period= 6 Years Loan Start after 4 Years

Q: Angelica received a 12-year non-subsidized student loan of $18,000 at an annual interest rate of…

A: Non-subsidized student loan is a type of student loan that is not subsidized by the Federal…

Q: Mr. Al Khasim deposited OMR 20,000 in a bank which offers a compound annual interest of 6%. How long…

A: Compound interest is one of the form of interest under which interest is charged on both principal…

Q: rate of 7.5% compounded monthly. Find (a) the monthly payment (b) the total interest charges

A: Monthly Payment: These are annuity payments made by the borrower to the lender for taking on a loan.…

Q: To vacation with his family, Mr. Velasco obtains a loan of $60,000 to be paid in 7 monthly…

A: Let's create an amortization table for Mr. Velasco's loan. Here are the details:Loan amount:…

Q: Mr. Smith takes out a $100,000.00 loan with an effective yearly interest rate of 10%. He must repay…

A: Given: Particulars Amount Loan (PV) $100,000 Interest rate 10% Years 30

Q: Greg Brown borrowed $100,000 to purchase a house. He agreed to repay the loan with equal monthly…

A: Installment amount is the number of periodic payments necessary to repay a loan.…

Q: brian borrows a sum of money from a bank at stipulated interest rate componded annually.The loan is…

A: Annual payments for the loan is calculated by excel function PMT. Note than the present value of…

Q: If Marc obtained a business loan of $225,000 at 4.77% compounded semi-annually, how much should he…

A: Solution:- When a loan is taken, it is either paid back in lump sum mode or installments. In…

Q: Casey secured a 5-year car loan at 6.20% compounded annually that required him to make payments of…

A: Present Value represents the value of a future amount in today's dollars, taking into account…