40: Albert borrowed P180 000 to be repaid with equal quarterly pay interest rate of 9% compounded quarterly. As a collateral, he offered his used car with an appraised value of P250 000 which the lender accepted. Given the first five rows of the amortization table of the loan, answer the questions that follow. Regular Payment Period Interest Component of Principal Component of Payment Loan Balance Payment 180 000.00 20 301.78 4 050.00 16 251.78 163 748.22 147 130.78 130 139.44 20 301.78 3 684.33 16 617.44 20 301.78 3 310.44 16 991.34 20 301 78 2 928,14 17 373.64 112 765.79

40: Albert borrowed P180 000 to be repaid with equal quarterly pay interest rate of 9% compounded quarterly. As a collateral, he offered his used car with an appraised value of P250 000 which the lender accepted. Given the first five rows of the amortization table of the loan, answer the questions that follow. Regular Payment Period Interest Component of Principal Component of Payment Loan Balance Payment 180 000.00 20 301.78 4 050.00 16 251.78 163 748.22 147 130.78 130 139.44 20 301.78 3 684.33 16 617.44 20 301.78 3 310.44 16 991.34 20 301 78 2 928,14 17 373.64 112 765.79

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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This amortization table shows the first 3 payments and the last 3 payments on a mortgage. Payment Monthly Interest PrincipalOutstanding number payment paid paid balance $120 000.00 $119 746.95 $119 492.58 $119 236.90 $1735.38 $869.43 $1.01 1 $874.94$621.89 $253.05 2 $874.94$620.58 $254.36 3 $874.94$619.26 $255.68 $874.94 $13.46 $861.48 $874.94 $874.94 238 $8.99 $865.95 $4.51 $870.43 239 240 What is the total interest paid over the life of the mortgage?
1.18q Determine the payment to amortize the debt. (Round your answer to the nearest cent.) Quarterly payments on $17,500 at 3.9% for 6 years.
Develop an amortization schedule for the loan described. (All answers should be entered in dollars. Round your answers to the nearest cent.) 1 $90,000 for 2 years at 12% compounded semiannually Period 1 2 3 4 5 $ $ $ $ $ Payment $ $ $ $ $ Interest Balance Reduction $ $ $ $ $ Unpaid Balance $90,000 $ $ $ $ $0.00
The buyer of a piece of real estate is often given the option of buying down the loan. This option gives the buyer a choice of loan terms in which various combinations of interest rates and discount points are offered. The choice of how many points and what rate is optimal is often a matter of how long the buyer intends to keep the property. Darrell Frye is planning to buy an office building at a cost of $987,000. He must pay 10% down and has a choice of financing terms. He can select from a 9% 30-year loan and pay 4 discount points, a 9.25% 30-year loan and pay 3 discount points, or a 9.5% 30-year loan and pay 2 discount points. Darrell expects to hold the building for four years and then sell it. Except for the three rate and discount point combinations, all other costs of purchasing and selling are fixed and identical. (Round your answers to the nearest cent. Use this table, if necessary.) (a) What is the amount being financed? $4 (b) If Darrell chooses the 4-point 9% loan, what…
Pls help on this question. Pls show all steps and complete all parts pls I beg pls pls pls pls pls pls i beg.
A loan carries a simple interest rate of 5.25 % . The loan was fully repaid by two $5000 payments made 8 and 11 months after the original date of the loan. How much was borrowed at the start? Multiple Choice $10,000 $9601.34 $9661.84 $9540.85 $9329.44
Exercise 2: Directions: Analyze the given amortization procedures in the table below then fill in cach blank using the guide questions below the table. Problem: A salary loan amounting to P15,000 is to be paid annually for 4 years with an interest rate of 6% compounded annually. The annual amortization is P P4,328.87. PRINCIPAL Outstanding Balance Interest Regular Payment (R) Period Component of Component of Рауment Раyment P11,571.13 7,936.53 E 1. 2. 3. P4,328.87 P4,328.87 P4,328.87 P900 P694.27 P3,428.87 3,852.68 4,083.84 4 245.031 F Total G. H. Guide Questions: A. How much is the amount of the loan? (Outstanding balance at time 0) B. How much is the first regular annual payment? C. For the second payment, how much goes to pay the principal? D. For the third payment, how much goes to pay the interest? E. How much is the outstanding balance after the 3rd payment? F. How much should be the outstanding balance after the 4th or last payment? G. How much is the total amount of regular…
Using this table as needed, calculate the required information for the mortgage. Number Table Monthly Payment (in $) Term Total Amount Interest of $1,000s Financed of Loan Factor Interest Financed Rate (years) (in $) (in $) $74,500 8.00% 30 %24
10.4 Allocation of the Monthly Payment (pp. 584-387) Compute (a) the allocation of the monthly payment toward principal and interest and (b) the new principal. Rowena Tinley obtains a 30-year, $90,000 mortgage from State Bank. The interest rate is 7.5%, and her monthly payment is $629.10. For the first payment, what is the amount of (a) interest, (b) payment to principal, and (c) new principal? Step 1: Find the interest. Principal x Rate x Time $90,000.00 x 7.5% x 12 = $562.50 interest Step 2: Find the payment to principal. Monthly Payment Interest $629.10 $562.50 - $66.60 payment to principal Step 3: Find the new principal. Previous Balance - Payment to Principal $90,000.00 $66.60 = $89,933.40 new principal Review Exercises Find the (a) amount for interest, (b) amount for principal, and (c) new principal. Interest First Monthly Amount for Payment Amount for Mortgage Amount New Principal b. $ Principal C.S Rate Interest 26. $ 60,000 7.0% $399.00 a. S 27. 130,000 5.5 738.40 a. b. 28.…
Givens, Hong, and Partners obtained a $8,100 term loan at 9.6% compounded annually for new boardroom furniture. Prepare a complete amortization schedule in which the loan is repaid by equal semiannual payments over three years. (Round your answers to the nearest cent. Do not round the intermediate calculations.) Payment Interest number Payment $ portion $ 0 DLN3 456 1 2 1624.80 1624.80 1624.80 1624.80 1624.80 1624.80 Principal portion $ Principal balance $ 8,100.00
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