What is the time period of a loan for $2,250, at 13% exact interest, if the amount of interest is $110.59? (Round to the next higher day.) O 127 days O 137 days O 139 days 153 days

Q: What are the interest cost and the total amount due on a six-month loan of $2,100 at 13.5 percent…

A: Simple annual interest cost is the net amount of interest that is being charged on the principal…

Q: What is the number of months required for a deposit of $1320 to earn $16.50 interest at 3.75%?

A: Deposited amount or principal balance is $1320 Interest earned is $16.50 Interest rate is 3.75% To…

Q: 10) Compute the simple interest and final amount of each loan Principal Rate Time A P 400 7% 1 year…

A: Simple interest is that amount of interest which is being charged on the principal amount for the…

Q: Use the exact interest method (365 days) and the ordinary interest method (360 days) to compare the…

A: Principal Amount = p = $7310 Interest rate = r = 7% Time = 13 days

Q: Devon takes out a loan of $1500 at 6 1/2 % simple interest for 56 months. What is the maturity value…

A: A method of computing interest amounts in which the compounding effect was not considered by the…

Q: Find the amount due if $200 is borrowed for 4 months at 17% simple interest

A: Amount due refers to the net amount that needs to be either paid by the borrower to the lender or to…

Q: Suppose that you took out a loan at 12% interest for 200 days. If the amount of interest was…

A: Interest rate = r = 12% Time = t = 200 days Interest amount = i = $710.14   Number of days in Exact…

Q: 6. borrower takes out a 30-year mortgage loan for $300,000 with an interest rate of 5% and monthly…

A: Since there is more than 1 question, we will answer the first one as per our guidelines. Please…

Q: What is the monthly interest expense for the following open-end credit loan? Loan balance of…

A: The open ended credit loan you have to pay interest on balance amount used and calculation are done…

Q: (a) What is the rebate fraction of a 36 month loan paid off after the 12th payment? (b) What is the…

A: Rebate: It is the amount of money that is returned or credited to the customer in regard to a…

Q: 20 $2500 was borrowed 2-years ago, is to be settled by following payments: $1250 today, $1170 in…

A: Amount Borrowed $ 2,500.00Years passed after borrowing2PaymentsNow $ 1,250.00In 5 months $…

Q: Compute the rate (in %) for the loan. Round answers to the nearest tenth of a percent; use ordinary…

A: Solution Rate (in %) for the loan = Interest / principal amount * 360/ days of loan

Q: How many months will it take to pay off a credit card debt of $4,000 by paying $250 per month at an…

A: Using NPER function in excel

Q: Suppose that you took out a loan at 10% interest for 283 days. If the amount of interest was…

A: Interest rate = 10% Period = 283 days Amount of interest = $852.88

Q: What is the Effective Annual interest Rate (EAR) of the following car loan?. The loan amount is…

A: Calculation of Effective Annual Rate By using Rate function of Excel=RATE(nper,pmt,pv)wherenper is…

Q: Find the ordinary interest using: a) Ordinary time b) Exact time c) Find the Exact Interest using…

A: The amount paid to an investor for the invested fund is called interest. It is the compensation paid…

Q: Compute the rate (in %) for the loan. Round answers to the nearest tenth of a percent; use ordinary…

A: Ordinary interest, also known as simple interest, is a method of calculating interest on a loan or…

Q: Find the principal of a loan in which the interest rate is 13% per month, payable monthly, and in…

A: The principal of a loan is the initial amount of money that is borrowed or lent. It is the original…

Q: Using the ordinary interest method, find the amount of interest on a loan of $5,000 at 10% interest,…

A: To calculate the interest amount we will use the below formula   Ordinary interest = P*r*d/360 Where…

Q: Find the amount due if $800 is borrowed for 18 months at 18% simple interest.

A: Amount borrowed (P) = $800 Period (n) = 18 months Interest rate (r) =0.18 Amount due = ?

Q: Use the exact interest method (365 days) and the ordinary interest method (360 days) to compare the…

A: Data given: Principal = $7290 Rate=7% Time=17 days     Formula to be used: Interest = Principal *…

Q: Find the amount (in $) of interest on the loan.

A: Interest: It refers to the monetary charge paid by the borrower to the lender for taking a loan. It…

Q: Calculate the missing information for the loan. Round percents to the nearest tenth and days to the…

A: The loan is an agreement between the two parties, In which one party is a loan provider and the…

Q: onsider a loan at 4.125% APR on 6 years for a $23,000 car a. Estimate the monthly payment (using…

A: Equated Monthly Installments are one part of the equally divided monthly outgoes to clear off an…

Q: How much interest will you pay on a loan of $15 500 if you are paying the loan off in 9 months? Your…

A: On the income statement, the expenditure for interest is categorized as a non-operating item. It is…

Q: Compute the size of the final payment for the following loan. Periodic Payment Made at: Principal $…

A: Components of the time value of money Money is worth more today than the same amount of money in the…

Q: Calculate the missing information for the loan. Round percents to the nearest tenth and days to the…

A: We need to use simple/ordinary/exact interest formula to solve this problem Simple interest(exact)…

Q: what is the due date for a loan dated Nov 7 for 120 days?

A: Due date is the date on which the loan will mature.  Loan is taken on November 7 for 120 days.

Q: ind the maturity value of the loan. The maturity value is $ Principal Rate Time $1000 8% 18 months

A: In this we have to find out the maturity value of loan by using future value formula.

Cost of Credit

The cost of credit is an extra amount that the borrower has to pay besides the loan amount. These credit charges may vary from loan to loan. The cost of credit includes interest charges, maintenance charges, and arrangement charges. Some of the costs are mandatorily collected by the lender based on the loan amount and tenure of the loan. The cost of credit is also called finance charges of the credit.