Teal and Associates needs to borrow $65,000. The best loan they can find is one at 11% that must be repaid in monthly installments over the next years. How much are the monthly payments (a) State the type. O ordinary annuity O sinking fund O present value O amortization O future value (b) Answer the question. (Round your answer to the nearest cent.) %24

Teal and Associates needs to borrow $65,000. The best loan they can find is one at 11% that must be repaid in monthly installments over the next years. How much are the monthly payments (a) State the type. O ordinary annuity O sinking fund O present value O amortization O future value (b) Answer the question. (Round your answer to the nearest cent.) %24

Corporate Fin Focused Approach

5th Edition

ISBN:9781285660516

Author:EHRHARDT

Publisher:EHRHARDT

Chapter4: Time Value Of Money

Section4.17: Amortized Loans

Problem 1ST

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Teal and Associates needs to borrow $65,000. The best loan they can find is one at 12% that must be repaid in monthly installments over the next 5 1/2 1 2 years. How much are the monthly payments? (a) State the type. A. ordinary annuityB.sinking fund C.present valueD.amortizationE.future value (b) Answer the question. (Round your answer to the nearest cent.)
Teal and Associates needs to borrow $35,000. The best loan they can find is one at 12% that must be repaid in monthly installments over the next years. How much are the monthly payments? (a) State the type. O present value future value O sinking fund O ordinary annuity O amortization (b) Answer the question. (Round your answer to the nearest cent.) $
MY NOTES ASK YOUR TEACHER Teal and Associates needs to borrow $65,000. The best loan they can find is one at 11% that must be repaid in monthly installments over the next years. How much are the monthly payments? (a) State the type. O future value O ordinary annuity O amortization O sinking fund O present value (b) Answer the question. (Round your answer to the nearest cent.) 2$ Need Heln? Read It
You plan to borrow $25,000 at a 3.4% annual interest rate compounded annually. The terms require you to amortize the loan with 5 equal payments each made at the end of each year. You would like to construct an amortization schedule showing details of the payments. Answer the following questions, and choose the closest answer from the possible choices following each question: 1.To find the interest repaid in period 1 only in the financial calculator amortization worksheet, you enter P2 = 2.To find the interest repaid in period 1 only in the financial calculator amortization worksheet, you enter P1 = 3.How much total interest is repaid in periods 1 to 2?
Suppose you want to borrow $90,000 and you find a bank offering a 20-year loan with an APR of 5%. a. Find your regular payments if you pay n = 1, 12, 26, 52 times a year. b. Compute the total payout for each of the loans in part (a). c. Compare the total payouts computed in part (b). a. The payment for n = 1 would be $ The payment for n = 12 would be $ The payment for n = 26 would be $ The payment for n= 52 would be $ (Do not round until the final answer. Then round to the nearest cent as needed.)
Use PMT= to determine the regular payment amount, rounded to the nearest dollar. The price of a home is $230,000. The bank requires a 20% down payment and three points at the time of closing. The cost of the home is financed with a 30-year foxed-rate mortgage at 6.5%. Complete parts (a) through (e) below. a. Find the required down payment. $ 46,000 b. Find the amount of the mortgage.
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If you borrow $8,637 and are required to pay back the loan in five equal annual installments of $2,700, what is the interest rate associated with the loan? Use Appendix D or a financial calculator to solve this problem. (Round your answer to the nearest whole percent.) Interest rate %
Suppose that you borrow $10,000 for four years at 8% toward the purchase of a car. Use PMT = to find the monthly payments and the total interest for - nt 1- the loan. The monthly payment is $ (Do not round until the final answer. Then round to the nearest cent as needed.) The total interest for the loan is $ (Use the answer from part (a) to find this answer. Round to the nearest cent as needed.)
Suppose that you borrow $17,000 for three years at 8% toward the purchase of a car. Use PMT= PA [---] -nt The monthly payment is $ (Do not round until the final answer. Then round to the nearest cent as needed.) to find the monthly payments and the total interest for the loan.
A bank loan requires you to pay $88,000 at the end of each of the next eight years. The interest rate is 10%. a. What is the present value of these payments? b. Complete the following amortization table. Complete this question by entering your answers in the tabs below. Required A Required B Complete the following amortization table. Note: Negative amounts should be indicated by a minus sign. Round intermediate calculations and final answers to the nearest whole dollar amount. Year 1 2 3 4 5 6 7 8 Beginning Balance Payment Interest (10%) Loan Reduction Ending Balance Required A Required B
Answer the Situation below correctly show your complete solution. A loan of 30 000.00 Php is to be paid monthly for 5 years that will start at the end of 4 years . If converted monthly at 12 % , how much is the monthly payment ?a . The type of annuity illustrated in the problem is _________________.b. The total number of payments is ______.c . The number of conversion period in the period deferral is ___________________.d. The interest rate per period is _________.e . The present value of the loan is_______.