A recent college graduate buys a new car by borrowing $18,000 at 8.4%, compounded monthly, for 5 years. She decides to pay $379 instead of the monthly payment required by the loan. (a) What is the monthly payment required by the loan? (Round your answer to the nearest cent.) How much extra did she pay per month? (Round your answer to the nearest cent.) (b) How many $379 payments will she make to pay off the loan? (Round your answer up to the next whole number.) payments (c) How much does she pay in total over the life of the loan by paying $379 per month rather than the required payment? %24 If instead of paying $379 per month she only paid the required payment every month, how much would she have paid in total over the life of the loan? (Round your answer to the nearest cent.) How much will she save by paying $379 per month rather than the required payment? (Round your answer to the nearest cent.)

A recent college graduate buys a new car by borrowing $18,000 at 8.4%, compounded monthly, for 5 years. She decides to pay $379 instead of the monthly payment required by the loan. (a) What is the monthly payment required by the loan? (Round your answer to the nearest cent.) How much extra did she pay per month? (Round your answer to the nearest cent.) (b) How many $379 payments will she make to pay off the loan? (Round your answer up to the next whole number.) payments (c) How much does she pay in total over the life of the loan by paying $379 per month rather than the required payment? %24 If instead of paying $379 per month she only paid the required payment every month, how much would she have paid in total over the life of the loan? (Round your answer to the nearest cent.) How much will she save by paying $379 per month rather than the required payment? (Round your answer to the nearest cent.)

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

See similar textbooks

Similar questions

Emily is buying a new car for $1,700. The dealer is charging her an annual interest rate of 10.2%. If she pays off the loan in 24 months, what are her monthly payments? If she makes a down payment of $210, how much will her monthly payments be? Round to two decimal places. OA. $170.57; $74.75 B. $170.57; $10.54 C. $85.28; $74.75 O D. $145.28; $10.54
17. Ms. Williams wants to move closer to work, so she is looking to buy a house for $290,000. where P is the principal r(1 + r)N (1 + r)" – 1 The formula to compute a mortgage payment, M, is M = P• amount of the loan, r is the monthly interest rate, and N is the number of monthly payments. The bank offers her monthly interest rate of 0.65% for a 25-year mortgage. a) With no down payment, determine Ms. Williams's mortgage payment, rounded to the nearest dollar.
suppose you want to buy a new car that costs you 11993 OMR by a loan from bank Muscat for 6 years. the bank charges you 4.004 percent on your loan. what is the annual payment should you pay to the bank every year on your loan? Select one: a. 2827.57 b. 62860.71 c. None of the options d. 2288.11 e. 1921.51
** HINT: Look online or look back at your worksheets for "add- on interest" problems! Melanie bought a used car for $10,000. (S)he put $100 down and financed the balance with the dealer at 5% add-on interest. If they agreed to make 36 monthly payments, then: (Round each answer to the nearest penny) What is the total payback amount of the loan? $ What is the amount of each payment? $ /month What is the total amount of interest paid on the loan? $
1. Betty Thomas borrowed $6500 onher Visa card to install a hot tub with landscaping around it. The interest charges are 1.6% per month on the unpaid balance a) Find the monthly interest charges. b) Find the interest charges if she moves the debt to a credit card charging 1% per month on the unpaid balance. (c) Find the monthly savings.
Today, you borrowed $6,200 on your credit card to purchase some furniture. The interest rate is 14.9 percent. How long will it take you to pay off this debt assuming that you do not charge anything else and make regular monthly payments of $120? Group of answer choices 6.93 years 7.23 years 6.40 years 7.31 years 5.87 years
suppose you want to buy a new car that costs you 15514 OMR by a loan from bank Muscat for 6 years. the bank charges you 4.004 percent on your loan. what is the annual payment should you pay to the bank every year on your loan? Select one: a. 2485.64 b. None of the options c. 3657.71 d. 81315.86 e. 2959.87
Q1.1: While buying a new car, Abigail made a down payment of $1,000 and agreed to make month-end payments of $240 for the next 5 years and 7 months. He was charged an interest rate of 5% compounded semi-annually for the entire term. a. What was the purchase price of the car? b. What was the total amount of interest paid over the term? Kindly keep all the decimals for all the preocedures, DO NOT ROUND
(Pls answer all ) QUESTION 1 A man buys a house for $360,000. He makes a $150,000 down payment and amortizes the rest of the purchase price with monthly payments over the next 15 years. The interest rate on the debt is 4%, compounded monthly. Match the question with the correct answer, there are more answers than questions. What is the size the of loan? What is the size of each payment? What was the total of these payments? What is the total amount paid in for the house? What is the total interest paid over the life of the loan? A. $ 279,601.20 B. $ 153,602.04 C. $ 429,602.04 D. $1,553.34 E. $ 69,602.04 F. $360,000 G. $ 210,000 H. $ 3,602.04 1. $ 853.34
Angela's bank gave her a 2-year add-on interest loan for $6,120 to pay for new equipment for her antiques restoration business. The annual interest rate is 8.28%. How much interest will she pay? What are her monthly payments? Question content area bottom Part 1 She will pay $enter your response here in interest on the loan. (Round to the nearest cent.) Part 2 Her monthly payments are $enter your response here. (Round to the nearest cent.)
6. Ms. Lanz takes out a $9,000 loan to buy a used car for her daughter. She gets a 4-year loan at 8.75% interest. Her payments will be $222.90 a month. What is the total repayment of the loan? $9891.60 G $16,992.00 H $10,699.20 Not Here
ery am Proctor Suppose you want to buy a $146,000 home. You found a bank that offers a 30-year loan at 5.3 % APR. What will be your monthly payment? (Round to the nearest cent.) 644.04 How much would you end up paying the bank for the home after 30 years? (Round to the nearest cent.) Suppose you wanted to reduce the time of your loan to 25 years. What would be your new monthly payment? (Round to the nearest cent.) How much would you end up paying the bank for the home after 25 years? (Round to the nearest cent.) How much did you save by reducing the time of your mortgage loan? (Round to the nearest cent.) Question Help: Video Message instructor Submit Question

SEE MORE QUESTIONS

Recommended textbooks for you

Essentials Of Investments

Finance

ISBN:

9781260013924

Author:

Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:

Mcgraw-hill Education,

FUNDAMENTALS OF CORPORATE FINANCE

Finance

ISBN:

9781260013962

Author:

BREALEY

Publisher:

RENT MCG

Financial Management: Theory & Practice

Finance

ISBN:

9781337909730

Author:

Brigham

Publisher:

Cengage

Foundations Of Finance

Finance

ISBN:

9780134897264

Author:

KEOWN, Arthur J., Martin, John D., PETTY, J. William

Publisher:

Pearson,

Fundamentals of Financial Management (MindTap Cou…

Finance

ISBN:

9781337395250

Author:

Eugene F. Brigham, Joel F. Houston

Publisher:

Cengage Learning

Corporate Finance (The Mcgraw-hill/Irwin Series i…

Finance

ISBN:

9780077861759

Author:

Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor

Publisher:

McGraw-Hill Education

Essentials Of Investments

Finance

ISBN:

9781260013924

Author:

Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:

Mcgraw-hill Education,

FUNDAMENTALS OF CORPORATE FINANCE

Finance

ISBN:

9781260013962

Author:

BREALEY

Publisher:

RENT MCG

Financial Management: Theory & Practice

Finance

ISBN:

9781337909730

Author:

Brigham

Publisher:

Cengage

Foundations Of Finance

Finance

ISBN:

9780134897264

Author:

KEOWN, Arthur J., Martin, John D., PETTY, J. William

Publisher:

Pearson,

Fundamentals of Financial Management (MindTap Cou…

Finance

ISBN:

9781337395250

Author:

Eugene F. Brigham, Joel F. Houston

Publisher:

Cengage Learning

Corporate Finance (The Mcgraw-hill/Irwin Series i…

Finance

ISBN:

9780077861759

Author:

Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor

Publisher:

McGraw-Hill Education

SEE MORE TEXTBOOKS