You have just purchased a new car! You made a down payment of $5,000 andfinanced the balance. According to the purchase agreement, you must pay$600/month for four years, beginning one month from today. The creditagreement is based on an annual interest rate of 12%. What was the cost of thecar?Select one:O a. 6,822O b. 22,784с.27 ,784d. 28,800e. None of the aboveO

Given:Down payment from today => $5,000Monthly payment => $600Term period => 48 months (4…

Answered: You have just purchased a new car! You…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Similar questions

You have just purchased a car and taken out a $50,000 loan. The loan has a five-year term with monthly payment and an APR of 5.5%. 1. What is the monthly interest rate? А. 2.75% В. 0.46% О С. 0.015% O D. 1.38%
For items 14-15. A car is to be purchased in monthly payments of P17,000 for 4 years starting at the end of 4 months. How much is the fair market value of the car if the interest rate used is 12% converted monthly and down payment is 65,000? _____14. How much is the present value of the car? A. 620,367.89 B. 626,571.57 C. 666,505.52 D. 659,906.45 _____15. How much is the fair market value? A. 724,906.45 B. 731,505.52 C. 691,571.57 D. 685,367.89
You have just purchased a new automobile costing $24000. the trade-in you have is valued at $6000. the purchase will be financed with a 3% loan which will be repaid over 5 years with monthly payments. determine a.) monthly payment b.) the total interest you will pay the loan over the 5 year period, and c.) the loan balance after the 48th payment. Ignore parts b and c
For items 8-10. A car is to be used in monthly payments of P 17,000 for 4 years starting at the end of 4 months. How many is the fair market value of the car if the interest rate used is 12% converted monthly and down payment is P 65,000? 8. How many artificial payments is given? А. 3 9. How much is the present value of the car? A. P 620,367.89 B. P 626,571.57 _10. How much is the fair market value of the car? A. P 724,906.45 B. P 731,505.52 В. 4 С. 7 D. 8 C. P 666,505.52 D. P 659,906.45 C. P 691,571.57 D. P 685,367.89
A car is to be purchased in monthly payments of P17,000 for 4 years starting at the end of 4 months. How much is the fair market value of the car if the interest rate used is 12% converted monthly and down payment is 65,000? __13. How many artificial payments is given? A. 3 B. 4 C. 7 D.8
A computer chip designer purchased a car for $54,67647, which induded sales tax and registration. f the designer obtains a S-year loan for the total amount at an annual Interest rate of 4.5% compounded monthly, find the monthly car payment. (Round your answer to the nearest cent.) Need Help? wwwn
1. You and the dealer have agreed upon the purchase price for a new automobile. The purchase price is $38,000. In addition, sales tax of $2,280, a documentation fee of $500 is added to you purchase price. You make an initial payment of $5,000 and seek to finance the remaining balance. Your automobile dealer has a finance opportunity which will allow you to defer your first payment for 6 months. Your car payments will be paid each monthly over a 3-year period beginning the first month after the 6 months deferral period. The interest rate is 6% per year for the duration of the loan and interest accrue monthly during the 6 months' deferral period. a. Draw the cash flow diagram from your perspective. b. What are your monthly payments? You decide to pay off your loan when you make your 24th payment. What will be your total 24th payment?
Suppose that, to purchase a car, you are obtaining a personal loan from your uncle in the amount of S65,000 (now) to be repaid in five years. it your uncle could earn 6% interest (oompounded annually) on his money invested in various sources, what minimum lump-sum payment five years trom now would make your uncle happy economically? OA S78648 OB S134, 168 OC s06,985 Oo S92, 241
You take out a consumer loan at your credit union for new insulated windows for your house. The total installed cost is $8,900 of which you pay 16% down. The balance is to be paid in 48 equal monthly payments with a finance charge equal to 6.8% add-on interest on the outstanding balance. Find the monthly payment. OA S255,14 O B. S171.39 OC. 5198.11 O D. $211.27 QUESTION 7 Find the minimum cash investment for a FHA loan on a home in a low closing cost state costing $107,450 with closing costs of $650. OA $2960,18 OB. 53712.32 ০s3223.50 OD.53175.07
Your bank offers to lend you $120, 000 at an 8.25% annual interest rate to start your new business. The terms require you to amortize the loan with 10 equal end-of-year payments. How much interest would you be paying in Year 2? a. $5,904.06. b. $8,487.08 0 c. $6,642.06• d. $7,011.07. e. $9224.68
For items 8-10. A car is to be used in monthly payments of P 17,000 for 4 years starting at the end of 4 months. How many is the fair market value of the car if the interest rate used is 12% converted monthly and down payment is P 65,000? 8. How many artificial payments is given? A. 3 9. How much is the present value of the car? A. P 620,367.89 B. P 626,571.57 10. How much is the fair market value of the car? A. P 724,906.45 B. P 731,505.52 В. 4 С. 7 D. 8 C. P 666,505.52 D. P 659,906.45 C. P 691,571.57 D. P 685,367.89
suppose you want to buy a new car that costs you 11993 OMR by a loan from bank Muscat for 6 years. the bank charges you 4.004 percent on your loan. what is the annual payment should you pay to the bank every year on your loan? Select one: a. 2827.57 b. 62860.71 c. None of the options d. 2288.11 e. 1921.51

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