and you cannot cancel on the due date, so you must cancel with a delay of 25 days, it is requested: a) Calculate the amount of current interest b) Calculate the amount of default interest d) What annual effective interest rate (TEA) will you end up paying?
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When enrolling at the University, he signed a bill of exchange for an amount of ¢180,000.00 with a term of 90 days. The current interest charged is 5% per year and the default interest is 3% per month, you are planning your finances and you cannot cancel on the due date, so you must cancel with a delay of 25 days, it is requested: a) Calculate the amount of current interest b) Calculate the amount of default interest d) What annual effective interest rate (TEA) will you end up paying?
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- A student takes out a short-term loan to pay for tuition, books, and supplies. If the simple interest loan is $3300 at rate of 6% per year for 10 months, find the overall amount that the student must pay back at the end of the 10-month period.A man plans to take a vacation in 4 years. He wants to buy a certificate of deposit for $1200 that he will cash in for the trip. What is the minimum annual interest rate he must obtain on the certificate if he needs at least $1700 for the trip? Assume that the interest on the loan is computed using simple interest The rate he must obtain is ___%A man plans to take a vacation in 5 years. He wants to buy a certificate of deposit for $1300 that he will cash in for the trip. What is the minimum annual interest rate he must obtain on the certificate if he needs at least $1500 for the trip? Assume that the interest on the loan is computed using simple interest. The rate he must obtain is
- You borrow $7000 to help pay your college expenses. You agree to repay the loan at the end of 6 years at 12% interest, compounded monthly. (Round your answers to two decimal places.) (a) What is the maturity value of the loan? (b) How much interest are you paying on the loan?Prepare an amortization schedule for a three-year loan of $57,000. The interest rate is 8 percent per year, and the loan agreement calls for a principal reduction of $19,000 every year. How much total interest is paid over the life of the loan? (Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32. Leave no cells blank. You must enter '0' for the answer to grade correctly.) Year Beginning Balance Total Payment Interest Payment Principal Payment Ending Balance 1 $57,000 $4,560 2 3 0 Total InterestSuppose that you take out an unsubsidized Stafford loan on September 1 before your junior year for $45004500 and plan to begin paying it back on December 1 after graduation and grace period 27 months later. The interest rate is 6.8%. How much of what you will owe will be interest?$Round your answer to the nearest cent.
- You borrow $1,000 from the bank and agree to repay the loan over the next year in 12 equal end-of-month payments of $90. What is the effective annual interest rate on the loan?You borrow $1,000 from the bank and agree to repay the loan over the next year in 12 equal monthly payments of $90. However, the bank also charges you a loan initiation fee of $20 which is taken out of the initial proceeds of the loan. Taking into account the impact of the initiation fee, what is the effective annual interest rate on the loan?Suppose that you take out a federal direct loan on September 1 before your senior year for $7500 (the maximum allowed for a dependent student) and plan to begin paying it back on December 1 after graduation (so you will have had the loan for 15 months, including the six-month grace period after leaving school). The interest rate is 4.29% and you pay the interest every quarter until that December 1. On that December 1 you will owe $__Answer 1__, and $__Answer 2__ of that will be interest?
- Suppose that you take out a federal direct loan on September 1 before your senior year for $7500 (the maximum allowed for a dependent student) and plan to begin paying it back on December 1 after graduation (so you will have had the loan for 15 months, including the six-month grace period after leaving school). The interest rate is 4.29% and you pay the interest every quarter until that December 1. On that December 1 you will owe $__Answer 1__, and $__Answer 2__ of that will be interest? Answer 1: Answer 2:You borrow $7000 to help pay your college expenses. You agree to repay the loan at the end of 8 years at 9% interest, compounded quarterly. (Round your answers to two decimal places.) (a) What is the maturity value of the loan?(b) How much interest are you paying on the loan?Find the monthly payment on the loan. Assume that the term of the loan is 10 years. $7,500 at 7.9% interest; student graduates 2 years and 8 months after loan is acquired; payments deferred for 6 months after graduation. The monthly payment on this loan is $ decimal places, if necessary. Round your answer to two
