Select the correct answer and explain A loan of $ 45,000 is obtained at 17.5% per annum, to be paid in 2.5 years with annuities payable each end of the semester. Calculate the partial amortization at the end of the third period if the annuity is $ 8,900.50. a. $ 5,769.20 b. $ 5,869.52 c. $ 6,258.34 d. $ 5,928.65

Select the correct answer and explain A loan of $ 45,000 is obtained at 17.5% per annum, to be paid in 2.5 years with annuities payable each end of the semester. Calculate the partial amortization at the end of the third period if the annuity is $ 8,900.50. a. $ 5,769.20 b. $ 5,869.52 c. $ 6,258.34 d. $ 5,928.65

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

ChapterM: Time Value Of Money Module

Section: Chapter Questions

Problem 5RE: Next Level Potter wishes to deposit a sum that at 12% interest, compounded semiannually, will permit...

See similar textbooks

Similar questions

Next Level Potter wishes to deposit a sum that at 12% interest, compounded semiannually, will permit 2 withdrawals: 40,000 at the end of 4 years and 50,000 at the end of 10 years. Analyze the problem to determine the required deposit, stating the procedure to follow and the tables to use in developing the solution.
Value of an Annuity Using the appropriate tables, solve each of the following. Required: 1. Beginning December 31, 2020, 5 equal withdrawals are to be made. Determine the equal annual withdrawals if 30,000 is invested at 10% interest compounded annually on December 31, 2019. 2. Ten payments of 3,000 are due at annual intervals beginning June 30, 2020. What amount will be accepted in cancellation of this series of payments on June 30, 2019, assuming a discount rate of 14% compounded annually? 3. Ten payments of 2,000 are due at annual intervals beginning December 31, 2019. What amount will be accepted in cancellation of this series of payments on January 1, 2019, assuming a discount rate of 12% compounded annually?
Prepare an amortization schedule for a three-year loan of $60,000. The interest rate is 6 percent per year, and the loan calls for equal annual payments. How much is the principal payment for the first year? Select one: a.$ 50,377.17 b.$ 22,446.59 c.$ 20,000 d.$ 18,846.59
a. Set up an amortization schedule for a $19,000 loan to be repaid in equal installments atthe end of each of the next 3 years. The interest rate is 8% compounded annually.b. What percentage of the payment represents interest and what percentage representsprincipal for each of the 3 years? Why do these percentages change over time?
A loan $30.000 is to be amortized by equal payments at the end of each year for five years. The interest is calculated at the rate of 6% per annum compounded annually. Find the equal annual payment of that loan for each year? Lütfen birini seçin: O a. $7121.89 O b. $5641.20 c. None of them d. $1142.21
Develop an amortization schedule for the loan described. (Round your answers to the nearest cent.) $180,000 for 3 years at 10% compounded annually Period Payment Interest Balance Reduction Unpaid Balance $180,000 1 24 24 24 3 $0.00
a. Complete an amortization schedule for a $29,000 loan to be repaid in equal installments at the end of each of the next three years. The interest rate is 10% compounded annually. Round all answers to the nearest cent. Beginning Repayment Ending Year Balance Payment Interest of Principal Balance 1 $ fill in the blank 2 $ fill in the blank 3 $ fill in the blank 4 $ fill in the blank 5 $ fill in the blank 6 2 $ fill in the blank 7 $ fill in the blank 8 $ fill in the blank 9 $ fill in the blank 10 $ fill in the blank 11 3 $ fill in the blank 12 $ fill in the blank 13 $ fill in the blank 14 $ fill in the blank 15 $ fill in the blank 16 b. What percentage of the payment represents interest and what percentage represents principal for each of the three years? Round all answers to two decimal places. % Interest % Principal Year 1: fill in the blank 17% fill in the blank 18% Year 2: fill in the blank 19% fill in the blank 20% Year 3: fill in the…
Prepare an amortization schedule for a three-year loan of $96,000. The interest rate is 9 percent per year, and the loan calls for equal annual payments. How much total interest is paid over the life of the loan? Year 1: Beginning Balance, Total Payment, Interest Payment, Principal Payment, Ending balance Year 2: Beginning Balance, Total Payment, Interest Payment, Principal Payment, Ending balance Year 3: Beginning Balance, Total Payment, Interest Payment, Principal Payment, Ending balance Total Interest for all 3 Years.
Prepare an amortization schedule for a five year loan of $58,500. The interest rate is 6% per year and the loan cost for equal annual payments. How much interest is paid in the third year? how much total interest is paid over the life of the loan? Loan amount $ Interest rate Loan term Output area: 58,500 6% 5 Loan payment $13,887.69 Year Beginning balance 1 $ 58,500.00 Total payment Interest paid Principal paid Ending balance $ 13,887.69 $ 3,510.00 $ 10,377.69 $ 48,122.31 2 3 4 5 Total interest paid over life of loan
To repay a loan of $20,000, a series of nineteen level payments is to be made with the first payment in one year and each subsequent payment two years after the preceding one. The annual effective interest rate is 3.5%. Find the payment amount. Possible Answers A $1,459 B $1,685 c $1,729 D $1,887 E $1,953