1. Cameron designates 10% of his monthly earnings as charitable contributions. After deducting this amount, he deposits 5% of the remaining amount into a money market account earning 2%. If Cameron's monthly earnings are $4,800 what amount interest will he earn on his deposit each month?
1. Cameron designates 10% of his monthly earnings as charitable contributions. After deducting this amount, he deposits 5% of the remaining amount into a money market account earning 2%. If Cameron's monthly earnings are $4,800 what amount interest will he earn on his deposit each month?
Chapter5: Introduction To Business Expenses
Section: Chapter Questions
Problem 61P
Related questions
Question
100%
![1. Cameron designates 10% of his monthly earnings as charitable contributions. After
deducting this amount, he deposits 5% of the remaining amount into a money market
account earning 2%. If Cameron's monthly earnings are $4,800 what amount interest
will he earn on his deposit each month?
2. Find the maturity value for a loan on $4,225 at 8% made on March 5 and due on May 5
of the same year. Assume a 365-day year.
3. Republic Bank advertises their interest rates at 7 % %. You decide to apply for a loan in
the amount of $9,000 for 90 days. The bank grants your loan and the loan officer tells
you that there is a document preparation fee of $150 that needs to be paid at the time you
sign the documents for the loan. Find the APR. Assume a 360-day year.
4. You took out a loan of $5,000 on May 2 and went back on June 15 to make a payment of
$1,200. The loan was at 4% for 1 year. What was your remaining balance after making
that payment?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F4fe02b6d-1a3e-424a-98a7-65060d07e412%2Fae619850-8905-45c6-9721-d77685be37c8%2F3bl5p39_processed.jpeg&w=3840&q=75)
Transcribed Image Text:1. Cameron designates 10% of his monthly earnings as charitable contributions. After
deducting this amount, he deposits 5% of the remaining amount into a money market
account earning 2%. If Cameron's monthly earnings are $4,800 what amount interest
will he earn on his deposit each month?
2. Find the maturity value for a loan on $4,225 at 8% made on March 5 and due on May 5
of the same year. Assume a 365-day year.
3. Republic Bank advertises their interest rates at 7 % %. You decide to apply for a loan in
the amount of $9,000 for 90 days. The bank grants your loan and the loan officer tells
you that there is a document preparation fee of $150 that needs to be paid at the time you
sign the documents for the loan. Find the APR. Assume a 360-day year.
4. You took out a loan of $5,000 on May 2 and went back on June 15 to make a payment of
$1,200. The loan was at 4% for 1 year. What was your remaining balance after making
that payment?
Expert Solution
![](/static/compass_v2/shared-icons/check-mark.png)
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
![Blurred answer](/static/compass_v2/solution-images/blurred-answer.jpg)
Recommended textbooks for you
![EBK CFIN](https://www.bartleby.com/isbn_cover_images/9781337671743/9781337671743_smallCoverImage.jpg)
![EBK CFIN](https://www.bartleby.com/isbn_cover_images/9781337671743/9781337671743_smallCoverImage.jpg)
![Intermediate Accounting: Reporting And Analysis](https://www.bartleby.com/isbn_cover_images/9781337788281/9781337788281_smallCoverImage.jpg)
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:
9781337788281
Author:
James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:
Cengage Learning
![Cornerstones of Cost Management (Cornerstones Ser…](https://www.bartleby.com/isbn_cover_images/9781305970663/9781305970663_smallCoverImage.gif)
Cornerstones of Cost Management (Cornerstones Ser…
Accounting
ISBN:
9781305970663
Author:
Don R. Hansen, Maryanne M. Mowen
Publisher:
Cengage Learning