17. Eileen and Charlie want to renovate their bathroom. They receive a quote of $7500 from Baths of Beauty.How much would their monthly payment be on a $7500 personal loan with a three-year term at 5.65% peryear, compounded monthly?tomentsc. $226.98d. $210.16a. $191.67b. $220.11Taring

Given data, Principal Amount (P)=$7,500Rate (r)=0.056512Number of times interest applied per time…

Answered: 17. Eileen and Charlie want to renovate…

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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6) Susan is looking to purchase her first home five years from today. The house costs $1,550,000. She will have to make a down payment of 10% of this amount and plans to take a loan from the bank for the difference. Bank charges are approximately 15% of the loan amount. She plans to start saving from today to cover both the down payment and the bank charges. a. How much will she need to save to cover both the down payment and bank charges? b. If she currently has $195,000 in her account and will make no further deposits over the next five years, what rate of interest must she earn on this account in order to achieve the savings target calculated in part (a) above?
Question 11 Find the monthly house payment necessary to amortize the following loan. In order to purchase a home, a family borrows $70,000 at 12% for 15 years. What is the monthly payment? $840.12
12. Pam promises to pay Sandy $4,000 in year 4 and another $6,000 in year 8 for a loan of $4,000 from Sandy today. What is the ROR that Sandy is getting? Assume interest is compounded monthly.
Question 5: JJ takes out a conventional loan to purchase a car. The interest rate is 6.8% compounded monthly and JJ has six years to repay the $10,000 they borrowed. What are JJ's monthly payments?
Question 11 Find the monthly house payment necessary to amortize the following loan. In order to purchase a home, a family borrows $70,000 at 12% for 15 years. What is the monthly payment? $840.12
A 148.
Item 3 Christina Sanders is concerned about the financing of a home. She saw a small Cape Cod–style house that sells for $90,000. If she puts 10% down, what will her monthly payment be at (a) 30 years, 5%; (b) 30 years, 512%512% ; (c) 30 years, 6%; and (d) 30 years, 612%612% ? What is the total cost of interest over the cost of the loan for each assumption? (Round your answers to the nearest cent.)
Problem 2: Judy gets financing for a home loan on a $900,000 single bedroom, one bath 500 sq ft. home in a great part of Santa Cruz (near the Boardwalk). She can amortize the $900,000 at 7.5% for 30 years. What are the monthly payments of the loan? Be sure to circle answer. Round answer to nearest whole dollar.
K To complete her college education, Judy received education loans of $23,256 including interest. Find her monthly payment if the loan is to be paid off in 72 months (6 years). Her monthly payment is $ (Simplify your answer.) 4
Question Help The Adeeva's gross monthly income is $6300. They have 18 remaining payments of $230 on a new car. They are applying for a 20-year, $172,000 mortgage at 6.5%. The taxes and insurance on the house are $360 per month. The bank will only approve a loan that has a total monthly mortgage payment of principal, interest, property taxes, and homeowners' insurance that is less than or equal to 28% of their adjusted monthly income. Click here for table of Monthly Payments a) Determine 28% of the Adeeva's adjusted monthly income. (Round to the nearest cent.) TO b) Determine the Adeeva's total monthly mortgage payment, including principal, interest, taxes, and homeowners' insurance. et e cart 1 $6 (Round to the nearest cent.) c) Do they qualify for this mortgage? No O Yes

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17. Eileen and Charlie want to renovate their bathroom. They receive a quote of $7500 from Baths of Beauty. How much would their monthly payment be on a $7500 personal loan with a three-year term at 5.65% per year, compounded monthly? a. $191.67 b. $220.11 c. $226.98 d. $210.16