Payment Balance Date Annual before Interest Transaction Rate Number Interest Accrued of Days Charged Interest (+) or Advance Principal Balance after Amount Transaction (-) Nov 1 $13,750.00 Dec 1 6.5% Jan 1 6.5% Jan 19 6.5% $2,500.00 Feb 1 6.5%
Payment Balance Date Annual before Interest Transaction Rate Number Interest Accrued of Days Charged Interest (+) or Advance Principal Balance after Amount Transaction (-) Nov 1 $13,750.00 Dec 1 6.5% Jan 1 6.5% Jan 19 6.5% $2,500.00 Feb 1 6.5%
Chapter5: Introduction To Business Expenses
Section: Chapter Questions
Problem 61P
Related questions
Question
Transcribed Image Text:Gayle has a HELOC with MCAP Financial Corporation at an interest rate of prime +2.25%. Her current balance owing on November 1 is $13,750.00 and she is required to make
interest-only payments on the first of every month. The prime rate is set at 4.25%. She makes one payment of $2,500.00 on January 19. Create three months of her repayment
schedule.
(Round all monetary values to the nearest penny.)
(Use a minus sign before the dollar sign to denote a negative monetary value. For example, "$149.63")
(Give all "Number of Days" quantities as fractions with denominator 365.)
Date
Balance
before
Transaction
Annual
Interest
Rate
Number Interest Accrued
of Days Charged Interest
Nov 1
Dec 1
6.5%
Jan 1
6.5%
Jan 19
6.5%
Feb 1
6.5%
Note: You can earn partial credit on this problem
Preview My Answers
Submit Answers
Payment
(+) or
Advance
(-)
$2,500.00
Principal Balance after
Amount Transaction
$13,750.00
fore now version will be requested.
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 3 steps with 3 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, finance and related others by exploring similar questions and additional content below.Recommended textbooks for you