roblem 4. You have a $600,000 mortgage on a 20 year amortization with a 2.55% interest rate, payments are monthly, calculate the value a ayments.
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- Cost of Bank Loan Mary Jones recently obtained an equipment loan from a local bank. The loan is for 15,000 with a nominal interest rate of 11%. However, this is an installment loan, so the bank also charges add-on interest. Mary must make monthly payments on the loan, and the loan is to be repaid in 1 year. What is the effective annual rate on the loan (assuming a 365-day year)?You plan to borrow $43,100 at an 8.0% annual interest rate. The terms require you to amortize the loan with 7 equal end-of- year payments. How much interest would you be paying in Year 2? a. $3,110.63 b. $3,061.57 c. $7,665.11 d. $8,278.32 e. $3,448.00A bank has agreed to lend you $127,800 for a home loan. The loan will be fully amortized over 57 years at 12.98%, with .13 points. The loan payments will be monthly. The closing cost is estimated to be $2,168. Calculate the prepaid interest. O $169.18 O $167.72 O $196.60 O $177.71
- TEST I. PROMLEM SOLVING: A bank offers 0.25% annual simple interest rate for a particular deposit. How much interest will be earned if 1 million pesos is deposited in this savings account for 1 year? 1. Sunnose vour father denosited in vour bank account P10.000 at an annual interest rate of 0.5%Suppose a bank offers you a 10% interest rate on a 25-year mortgage to be paid back with monthly payments. Suppose the most you can afford to pay in monthly payments is $950 How much of a mortgage could you afford? $103,744 58 $101,544.78 $105,487.54 $104,544 87Paying off credit card debt: 0.0122 What will be your monthly payment if you have $10,000 in credit card debt at 18% interest and you want to pay it off in 3 years. Assume that you no longer use your credit card. em vino
- Suppose that you borrow$ 12000 at interest rate of 5% per year. If you must be repaid the loan in equal end of year payments over the next 4 years, how much must you repay at the end of each year? O a. $3672 Ob. $3384 Oc. $2672 O d. $2384You plan to borrow $46,400 at a 7.6% annual interest rate. The terms require you to amortize the loan with 7 equal end-of-year payments. How much interest would you be paying in Year 2? a. $3,526.40 b. $8,790.61 c. $8,169.71 d. $3,126.32 e. $3,173.51CAN U PLEASEE PLEASE PLEASE HELP ME WITH THISS 21. A bank recently loaned $18,204.00 to buy a car. The loan is for 4 years and is fully amortized. The nominal rate on the loan is 9.2%, and payments are made at the end of each month. What will be the remaining balance on the loan after you make payment number 35? 4,106.14 5,606.14 5,106.14 4,606.14 6,106.14
- The following loan is a simple interest amortized loan with monthly payments. $7000, 7%, 4 years (a) Find the monthly payment. (Give your answer to the nearest cent.) Payment $189.58 (b) Find the total interest for the given simple interest amortized loan. (Give your answer to the nearest cent.) Total interest $ 2100 XFinding the Interest Rate: Concept Connection Example 6-3 (page 237) 18. What interest rates are implied by the following lending arrangements? a. You borrow $500 and repay $555 in one year. b. You lend $1,850 and are repaid $2,078.66 in two years. c. You lend $750 and are repaid $1,114.46 in five years with quarterly compounding. d. You borrow $12,500 and repay $21,364.24 in three years under monthly compounding. (Note. In parts c and d, be sure to give your answer as the annual nominal rate.) Lasher, William R.. Practical Financial Management (Page 276). South-Western College Pub. Kindle Edition.Question No :-1 You have an annual installment loan of Rs.150,000 from ABC bank for 5 years. If the loan requires an annual interest rate of 5% and the installments are to be paid at the beginning of each year, prepare a detailed breakup about the loan repayment indicating for the beginning of each year, the annual installment, the interest paid, the principal repaid and the remaining principal?