Mrs. Bowe wants to receive $600 at the end of the next 3 years and a additional $3500 at the end of year three, with the total payments equaling $5300. What is Mrs. Bowe NPV is the interest rate is 4%
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- 4. Mr. Thomas will receive $8,500 a year for the next 15 years from her trust. If a 7 percent interest rate is applied, what is the current value of the future payments if first receipt occurs today?Jane wants to borrow $100,000 from the bank for up to 3 years at an APR of 8.5% with interest compounded monthly.If Jane borrows$100,000 for 1 year, how much interest will she have paid and what is the bank’s APY?Maryanne purchases a house for $380,000 and takes a mortage for the full amount. Her mortgage charges 3% per year and interest is compounded monthly. She will repay the loan over 30 years with equal monthly payments. a) What is her monthly payment amount? b) How much of the 6th payment would be applied toward interest? c) How much of the 6th payment would be applied toward principal? Please show work or excel formuals used
- Linda expects to receive P35,569.22 , 9 years from now. How much should she invests for three consecutive years (annually) starting THIS YEAR if the interest rate is 0.250? Use knowledge about ANNUITIES in solving thisMarry are buying her first house for $220,000, and are paying $30,000 as a down payment. You have arranged to finance the remaining $190,000 30-year mortgage with a 7% nominal interest rate and monthly payments. What are the equal monthly payments you must make? Select one: a. $1,110$ b. $1,976 c. $1,264 d. 1,513Beatrice takes out a 7 year loan of $5000. The interest rate is 4.5%. What are Beatrice's monthly payments? Suppose after 5 years Beatrice decides to pay off the remaining balance of the loan. What is the payoff amount?
- Martha Diaz needs an investment loan. She gets a simple interest amortized loan for $12,000 at 8.5 % for four years. Find the total interest that will be paid over the life of the loan.Jessica purchases a house for $323,000 and takes a mortgage for the full amount. Her mortgage charges 6.75% per year and interest is compounded monthly. She will repay the loan over 25 years with equal monthly payments. a) What is her monthly payment amount? b) How much of the 8th payment would be applied toward interest? c) How much would be the payoff amount if the mortgage is to be paid at the end of year 2 (i.e., before the 24th payment is made)?Delia purchases an annuity that will pay her $10,000 per year for the next 10 years starting next year. Assuming a rate of 6%, what is the value of the annuity. Choose the closest. a) $106,000 b) $131,808 c) $159,374 d) $171,569
- a) Clara borrows $41,000 today at 2.9% per year compounded quarterly, to start her own buisness. she plans to repay her loan by making equal quarterly payments over 8 years. What are Clara's quarterly payments? b) how much of what clara will pay back is in interest?Trish receives $450 on the first of each month. Josh receives $450 on the last day of each month. BothTrish and Josh will receive payments for next four years. At a discount rate of 9.5 percent, what is thedifference in the present value of these two sets of payments?Select one:a. $151.06b. $141.80c. $162.50d. $159.08e. $154.301. Edna invests $30,000 and buys an annuity that pays $2000 every 6 months (1st payment 6 months from now) for 5 years, followed by $1500 every 6 months for as long as possible. The annuity earns interest at 1 = 6% for the first 3 years, followed by i2) = 5% thereafter. How many semi-annual payments will Sally get in total? What would be the size of her final payment if it is made at the same time as his last regular $1500 payment? What would be the size of her final payment if it is made 6 months after his last regular $1500 payment? (a) (b) (c)
