Sultan’s Used Cars just sold you a clunker (you need it to get to class on time). You financed the $8,000 purchase price for 48 months. They said your payment would be $250. What interest rate did they charge you (assume monthly compounding)?

Q: You are financing a car worth $29509.88 with tax included. Interest rates are 7.6% compounded daily.…

A: Solution:- When an amount is borrowed, it can either be repaid as a lump sum payment or in…

Q: On September 1, 2018, you bought a used car for $37,000. You paid $2,000 down and financed the…

A: From the given information first monthl payment on the loan is calculated and then using the monthl…

Q: You are financing a car worth $29039.30 including tax. The interest rate is 10.8% compounded daily.…

A: Loan amount (L) = $29039.30 - $1700 = $27339.30 Interest rate = 10.8% daily compounding (m = 365) n…

Q: You were able to sell a car worth 2,100,000, which would be financed by a bank. You told your buyer…

A: “Since you have posted a question with multiple subparts, we will solve first three subparts for…

Q: You purchase a basic package, 4-door sedan for your company's fleet for $18,000. The 3 year loan has…

A: Assumption: It is assumed the given situation is in monthly compounding. The question gives the…

Q: I need assistance to solve this problem: On September 1, 2018, you bought a car for $23,000. You…

A: Calculation of payoff the loan on November 1, 2020:First it is required to calculate the total…

Q: 5. When Jose just moved into the town and wanted to set up an internet connection using AT&T, he was…

A: The value of money does not remain constant throughout time since it varies with time, and so this…

Q: You recently graduated from Miami University and are looking to purchase a new vehicle. The car…

A: Monthly Payment:A "monthly payment" refers to a recurring amount of money that is paid on a monthly…

Q: A used car can be purchased for $15,200 with monthly payments spread over 4 years, the person has…

A: We need to find the total installment cost of the loan.

Q: rate

A: Introduction: Simple interest can be defined as interest which is computed from the principal loan…

Q: Bowflex’s television ads say you can get a Treadclimber that sells for $10,000 for 4 annual payments…

A: Rate of return is the rate that an investor expects to receive annually as the reward for investing…

Q: You just bought a used car for $11,000 with no down payment using dealer financing at 4% APR…

A: Price of the Car is $11,000 APR is 4% compounded monthly Monthly payment is $300   To Find:- Time…

Q: The RentWay company advertises itself as “Rent to own program”. For example, you can rent a $180 TV,…

A: The concept of time value of money means that the value of money today is worth more than its value…

Q: You wish to buy a car that has a monthly payment of $250 and with a down payment of $1000. You find…

A: PMT is $250,r is 4.5% or 0.045,n is 5×12 months (5 years converted to months),DP is $1000.

Q: You want to buy a new sports coupe for $64,987, and the finance office at the dealership has quoted…

A: Amortization is the systematic repayment of loan and interest for a decided period of time. Each…

Q: Murphy made a down payment of $2,000 on a car costing $8,000. Murphy will pay the remaining balance…

A: A down payment is an initial payment made by a borrower towards the purchase of a property or asset…

Q: You buy a car with a down payment of $1000 and $200 per month for 3 years. a) If the interest rate…

A: Loan amount is the present value of monthly payment based on time value of money and intrest rate of…

Q: To borrow money, you pawn your guitar. Based on the value of the guitar, the pawnbroker loans you…

A: Solution:- When a loan is taken, it can either be repaid as a lump sum payment or in installments.…

Q: Your roommate let you borrow $211 to buy the PS52 months ago. You just paid him back today and gave…

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: A car dealer offers a $1500 rebate if you pay cash (or borrow the money elsewhere) for a $9500 car…

A: The financed car loan requires a 10% down payment, which is: $9500 x 10% = $950 So, the amount…

Q: Suppose that you decide to buy a car for $57,000, including taxes and license down payment. The…

A: It is given that, the price of the car is $57,000 and the down payment is $10,000.So, the loan…

Q: S Cars Just sold you a clunker (you need it to get to class on time). You financed the $4,728.48…

A: Loan amount = $4,728.48Monthly payment = $250Number of months = 24  months

Q: Use the Buying a Car information above to answer this question. The rebate offer is $1400, and you…

A: When a mortgage is to be had at a reduced quantity it's far referred to as a rebate offer. Under…

Q: Kangaroo Autos is offering free credit on a new $13,500 car. You pay $1,500 down and then $400 a…

A: Following formula will be used to calculate the present value:

Q: After making the thirtieth payment of $582.48 on your car loan, you wanted to find out how much is…

A: Amortization: Process of reducing loan balance in a systematic manner is called amortization.…

Q: .43% nominal yearly, compounded weekly, how much does this generator cost fam to purchase when…

A: Discount rate:It is the rate used to evaluate the amount of money that will be invested in the…

Q: You want to save for a new car so you make payments of $573 at the end of every month into the bank.…

A: Monthly Payment = mp = $573Annual Payment = ap = $1620Number of Monthly Payment = mn = 7 * 12 =…

Q: Suppose that you decide to buy a car for $28,635, including taxes and license fees. You saved $7000…

A: concept. formula to find monthly payment is where , pmt = monthly payment r = interest rate t =…

Q: A payday lender might lend you $350 now, and you'll be asked to pay them back when your paycheck…

A: A payday loan is a high-risk loan given for a short period of time on the promise that it will be…

Q: A buyer wants to purchase a home for $150,000 with a 30% down payment. The lender charges 1.75…

A:

Q: A bank charges you, the credit card holder, 13.24% compounding monthly. Imagine that you have…

A: Present Value of Ordinary Annuity refers to the concept which gives out the discounted or today's…

Q: Jake's Used Cars just sold you a clunker (you need it to get to class on time). You financed the…

A: Rate of interest on borrowing refers to the cost or fee that a borrower pays to a lender in exchange…

Q: Today, you purchased $5300 on a credit card that charges an APR rate of 22.9 percent, compounded…

A: Monthly payment refers to an amount to be paid every month for the repayment of a loan amount by the…

Q: The difference in monthly payments between the two offers is $ (Round to the nearest cent as…

A: Monthly payments refer to the fixed amount that a borrower is required to repay on a loan each…

Q: You just bought a new TV for $2,559.72 on your credit card; assume no other purchases The APR is 18%…

A: Borrowings are the liability that is used to finance the requirement of the funds. The borrower…

Q: You are financing a car worth $26194.15 with tax included. Interest rates are 11.9% compounded…

A: A finance charge on a loan refers to the total amount of money a borrower has to pay in addition to…

Q: Paco buys a bicycle that costs $4,700. Give a 30% down payment and pay with a payment of $3,627.23…

A: Interest is the periodic obligation of the borrower to pay towards the sum owed. The interest rate…

Q: What is the simple interest rate ?

A: Loan is a contract between lender and borrower where lender provide funds to borrower for definite…

Q: You wish to buy a $20,000 car. The dealer offers you a 6-year loan with a 7.2 percent APR. What are…

A: The borrower can pay interest at regular intervals or at the time of making payment. The payment…

Q: A car dealership is offering to roll over the amount owed on your car into a new loan so you can…

A: LOAN AMOUNT LEFT 5406.77 ADDITION LOAN AMOUNT 29905.87 NEW TOTAL LAON AMOUNT 35312.64 INTEREST…

Q: Manjean is making car payments of $662 per month for the next 3 years. Manjean knows that the car…

A: Formula Car price = P*[1-(1+I)-N]/I Where P - Monthly payment i.e. $662 I - Monthly interest rate…

Production Budget

A budget can be defined as a financial plan designed by an undertaking for a definite period in the future that can contribute towards enhancing the financial success of the business undertaking. It is used to estimate the revenue and expenses. The budget generally takes into account both current and future income and expenses.