Straight bank loan. Right Bank offers EAR loans of 8.74% and requires a monthly payment on all loans. What is the APR for these monthly loans? What is the monthly payment for a loan of (a) $225,000 for 6 years, (b) $470,000 for 14 years, or (c) $1,300,000 for 32 years? What is the APR for these monthly loans? D% (Round to three decimal places.)
Straight bank loan. Right Bank offers EAR loans of 8.74% and requires a monthly payment on all loans. What is the APR for these monthly loans? What is the monthly payment for a loan of (a) $225,000 for 6 years, (b) $470,000 for 14 years, or (c) $1,300,000 for 32 years? What is the APR for these monthly loans? D% (Round to three decimal places.)
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
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Question 4. Was incorrect the first time. Attached is a similar question with answer. Please answer in the same format. For the first part please round to the nearest 3 decimal places
Transcribed Image Text:Straight bank loan. Right Bank offers EAR loans of 9.44% and requires a monthly payment on all loans. What is the APR for these monthly loans? What is the
monthly payment for a loan of (a) $200,000 for 7 years, (b) $430,000 for 14 years, or (c) $1,050,000 for 30 years?
What is the APR for these monthly loans?
9.055 % (Round to three decimal places.)
(a) What is the monthly payment if a loan is for $200,000 for 7 years?
$ 3,223.40 (Round to the nearest cent.)
(b) What is the monthly payment if a loan is for $430,000 for 14 years?
$ 4,524.27 (Round to the nearest cent.)
(c) What is the monthly payment if a loan is for $1,050,000 for 30 years?
$ 8,490.12 (Round to the nearest cent.)
Transcribed Image Text:Straight bank loan. Right Bank offers EAR loans of 8.74% and requires a monthly payment on all loans. What is the APR for these monthly loans? What is the
monthly payment for a loan of (a) $225,000 for 6 years, (b) S470,000 for 14 years, or (c) $1,300,000 for 32 years?
What is the APR for these monthly loans?
% (Round to three decimal places.)
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