Q: Please show all equations and work as needed. Make the correct answer clear. If possible, please…
A: The computation of net amount is as follows:Hence, the net amount of funds from the loan is $511560.…
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A: Given:
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A: Nominal interest rate (r) = 12% Effective interest rate (i) = 14.40% Let the compensating balance as…
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A: A written agreement through which a lender gets the right to take the property that is put as a…
Q: What is the actuarial rate for a simple loan of $1,500 that requires a repayment of 2,000 in 5
A: In this we have to calculate effective interest rate by use of present and future value.
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A: Using Excel PMT function
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A: Using excel PMT function
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A: Given information: Loan amount is $460,000 PMI requires 0.8% of loan amount
Q: What would be the total interest paid
A: Interest is charged on the amount lent by the lender to the borrower. In short, any excess payment…
Q: for borrowing 15000 for 3 years and 3months, a lender charges a borrower 750, what is the simple…
A: A simple rate of interest is one of the simple methods of calculating the interest on borrowings.…
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A: Interest is the amount paid on a loan by the borrower to the lender above the principal amount to…
Q: A borrower gets a $75,000, 25 year, 13% loan with 4 points. What is the true interest rate?
A: Given Information: Loan amount is $75,000 Number of years is 25 Interest rate is 13% 4 points on…
Q: Suppose you pay back $465 on a $425 loan. You had the loan for 60 days. What was your simple annual…
A: A loan means the amount that is borrowed by the individual from the banks and other financial…
Q: What is the amount of compensating balance would be required for a nominal interest rate of 12% to…
A: Borrowings are the loan which is taken by the individual to meet its financial requirements. The…
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A: Future value is the worth of any asset or any sum of money at a future date when such asset or money…
Q: What is the simple interest due on a 5 year loan of 4,00,000 if the annual rate is 6%.
A: Simple Interest is a method of calculating interest on the loan. It is calculated on the amount…
Q: original
A: Formula to calculate the loan amount is: PV = FV/(1+i)^n Where PV is the present value FV is the…
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A: Here, Loan Amount = GHC 5,000 Term of loan = 5 years Interest rate = 9% Principal payment each year…
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A: Line of credit can be determined as the predetermined credit limit. Any amount within the credit…
Q: .What are the annual payments for a 4-year $4,000 loan if the interest rate is 9% per year? Make up…
A: Let Annual Payment = A Amount = $ 4000 Rate(r) = 9% Years(n) = 4 Amount = A [ 1-1/(1+r)^n]/r
Q: If an entrepreneur applies for a loan amounting to ₱ 500,000 in a bank, the simple interest of which…
A: Simple interest = Principal * Rate of interest*Time Rate of interest = Simple…
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A: The lender deducts the fees upfront while disbursing the money, so effectivly the borrower get the…
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A: An internal rate of return is the metric used in financial analysis for estimating potential…
Q: "If you borrow $9,725 and are required to repay the loan in five equal annual installments of…
A: Using financial calculator
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A: Given: Mortgage Tenure: 30 years Mortgage Amount: $235000 Interest Rate: 6.9%, compounded monthly
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A: Dear student we need to use excel to solve this problem. The formulas that you need to understand to…
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A: Firstly calculate the monthly payment, Using financial calculator, N (no. of periods) = 30*12 =360…
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A: Interest is referred to as the monetary charge which is to be paid to the moneylender on the…
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A: Loan amount (P) = $565,500 Interest rate (r) = 4.25% Period (t) = 30 years
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A: The question is based on the concept of Loan and amortization.
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A: Equation for calculation of simple interest is as follows: Interest= P x R x T ÷ 100 so, to…
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A: Given Principal = 1800 Interest = 50 Days = 230
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A: Calculation of Monthly Payment and Interest Paid on the Loan:Excel Spreadsheet:
Q: If you borrow $1,000 at 8.5% simple interest and the loan requires a lump sum payment of $1,235.79,…
A: Future value = Principal + Simple interest Simple interest = Principal * Rate of interest * time
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A: Working note:
Q: If the interest rate is at 8%, what is the maximum amount that can be loaned given a repaid of :…
A: Maximum amount that can be loaned is the total sum of present value of all repayment.
Q: What is the total interest paid on a loan of $5,000 at APR = 6% for 4 years.
A: Loan amount = $5000 Interest rate = 6% Period = 4 Years
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A: A loan simply refers to the amount borrowed from a lender. The lender in such a scenario might be a…
Q: .A bank offers a 272- day discounted loan at a simple discount rate of 12%. (a) How much money would…
A: The discount on loan is given and that discount on loan is the interest being charged on the loan…
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A:
Q: (1) A 5-year auto loan for $20,000 has monthly payments at an 8% nominal annual rate. If the…
A: Annual percentage rate (APR) refers to the annual interest rate charged to borrowers or investors.…
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A: The major difference between the nominal and effective interest is that the effective interest takes…
Q: What is the monthly payment on a 30 year, $666,000 mortgage, with an interest rate of 2%, compounded…
A: Given data; mortgage amount = $ 666,000 number of years = 30 interest rate = 2% compounded monthly…
Q: What is the monthly payment on a 30 year, $250,000 mortgage, with an interest rate of 4%, compounded…
A: The concept of time value of money(TVM) is working on the purchasing power capacity of money which…
Q: If you borrow $1,000 at 8.5% simple interest and the loan requires a lump sum payment of $1,213.16,…
A: Interest on Loan = $1,213.16 - $1,000 Interest on Loan =$ 213.16
Q: Hagar Company's bank requires a compensating balance of 10% on a $100,000 loan. If the stated…
A: Compensating balance: A compensating balance is a minimum amount of cash that must be maintained by…
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- What is the simple interest rate on a loan of 2,000.00 that was paid 2,600.00 after 2 years and 6 months from the date of loan? (rate must be in %)Given the following loan information: Annual loan payment = $47,100 Number of remaining periods = 6 Interest rate = 12% What is the book value of the loan?asssuming that the interest is the only finance charge, how much interest would be paid on 5,000 installment loan to be repaid in 36 moonthly installment 166.10? what is the apr on this loan?
- To payoff a loan of $1000 you need to make 40 payment of $36.56 per month. What rate of interest are you paying? What is the stated or quoted rate? What is the annual percentage rate? What is the effective annual rate? What rate is bank likely to use to state its rate?What is the simple interest rate if Rogine paid an interest of P2,100 after 2 years and 6 months on a P12,000 loan?Assuming that the interest is the only finance charge, how much interest would be paid on a 5,000 installment loan to be repaid in 36 monthly installments 166.10? What is the APR on this loan?
- What is the actuarial rate for a simple loan of $1,500 that requires a repayment of 2,000 in 5 years?In a discount interest loan, you pay the interest payment up front. For example, if a 1-year loan is stated as $42,000 and the interest rate is 8.50%, the borrower “pays” 0.0850 × $42,000 = $3,570 immediately, thereby receiving net funds of $38,430 and repaying $42,000 in a year. a. What is the effective interest rate on this loan? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) b. What is the effective annual rate on a 1-year loan with an interest rate quoted on a discount basis of 18.50%? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.)for borrowing 15000 for 3 years and 3months, a lender charges a borrower 750, what is the simple interest rate the lender is using?
- 1. Let's assume that a loan of $100,000 with an annual interest rate of 6% over 30 years pays monthly payments of $500. a. Calculate the accumulation rate b. Calculate the payment rate . c. Answer : How will the balance of the principal be at the end of the loan in relation to the original amount of the loan? Less, equal or greater? Provide calculations.If $800 is borrowed and the interest after 6 months is $44, what is the annual interest rate for a simple interest loan?Someone is borrowing from a five-six ( Bumbay ) money lender. How much will be charged if you want to loan ₱ 5,000.00, payable in one year? Determine the interest rate per period and the annual interest rate. Is it a good loan term? Why or why not?