5.Suppose your credit card has an APR of 17% your daily rate would be 0.17/265.

Q: What is the IRR of this offer?

A: Capital budgeting methods are the used for finding the profitability of capital projects. It is a…

Q: f your credit card calculates interest based on 17.35​% ​APR, compounded quarterly ​: a) What are…

A: The effective annual rate of interest is the real return on the savings account when the effects of…

Q: What is the effective rate of a credit card whose Annual Interest Rate is 28.99% and compounds…

A: Annual interest rate = 0.2899 or 28.99% Number of compounding in a year = 365 Effective rate = ?…

Q: loan

A: The real interest rate is the rate which shows the preference of the borrower to get the loan at the…

Q: Solve the following problems involving real rates of return and interest. a) Find it with 5.5%…

A: Here, To Find: Part A. Real rate of interest =? Part B. Nominal rate of interest =? Part C. Average…

Q: Company X has trade credit policy 1/10 N45. If you can borrow from a bank at 9,5% annual rate, would…

A: 1/10 net 45: 1/10 net 45 is a trade credit extended to the buyer from the seller which means the…

Q: . The average daily balance on Crandall's credit card is $4,637.23. His APR is 22%. What is his…

A: Annual percentage rate (APR) : It is rate of return calculated for 12 months return. It is given…

Q: I can borrow from two different banks. One of them is charging me 6.75% APR compounded monthly and…

A: The effective annual rate is the real interest rate that is charged when the effects of compounding…

Q: Determine the number of periods n would it take for a uniform payment series in an account that…

A: Compound amount factor (FVF) = 7 Interest rate (r) = 6% Period = n Mathematics constant (e) =…

Q: What is the effective annual rate (EAR) if your credit card charges you 10.45 percent compounded…

A: The effective annual rate measures the rate of interest or return when the compounding is done on a…

Q: This card has an introductory APR of 0%.  Credit cards often do this to entice customers.…

A: Introductory APR of 0% means that the card holder can make purchases or transfer a balance  without…

Q: Explain the meaning of a 20% annual percentage rate (APR) quotedby the credit c.ird company? And how…

A: Answer: Annual percentage rate (APR) applies to the interest rate charged annually to borrowers and…

Q: 2. Let the force of interest be 8(t) = 0.06 when t is between 0 and 10 and 8(t) = 0.06+.01(t-10) for…

A:

Q: What is the maturity value for a discount note of $7,000, 120-day, with a discount rate of 6%?

A: Note discount is the difference between the face value (or principal amount) of a promissory note…

Q: (a) Suppose a credit card company charges a monthly interest rate of 1.8%. What APR must the company…

A: APR stands for annual percentage rate. It is the rate at which the lender charges the borrower.…

Q: 2. If you receive $249 each quarter for 4 quarters and the discount rate is 0.08, what is the…

A: In this Question we require to calculate the Present Value of Cash flows received every quarter for…

Q: thanks

A: Formula for compound interest is: A = P(1+r/n)^nt Where A is the future amount, P is the principal,…

Q: Q)The Central Bank pays 3.6% compounded monthly on certain types of deposits. What is the effective…

A: Effective annual return (EAR) is the real rate of return which shows the actual annual return with…

Q: effective interest rate on a loan

A: Effective interest rate refers to the return on the savings account at the time compounding effects…

Q: The nominal interest rate on a loan is 12.5% and inflation is 3%. What is the real interest rate?

A: Information Provided: Nominal Rate = 12.5% Inflation = 3%

Q: )If your credit card calculates interest based on 17.35​% ​APR, compounded quarterly ​: a) What are…

A: The effective annual rate is the actual rate of interest a loan will charge in a year after taking…

Q: If you borrow $100 at 5% interest rate (nominal) and inflation rate is 3%, what is the most accurate…

A: nominal interest rate = nr = 5% Inflation rate = ir = 3%

Q: Suppose a savings account has a nominal rate of 3.83% and interest is compounded monthly. What is…

A: Effective annual rate is the rate of interest which will be calculated after considering of the…

Q: 2.32 (LG 2.3) The Kovalam Bank advertises savings account interest as 2 percent compounded daily.…

A: Effective rate of interest is the simple interest amount that will yield as same interest rate as it…

Q: If the APR (annual percentage rate) of your Wells Fargo credit card is stated to be 19.32%, with…

A:

Q: Consider a $5,000, 6%, 180-day interest-bearing note and a non-interest- pearing note for the same…

A: Note means an instrument acknowledging as debt due from one party to another party. Interest bearing…

Q: What is the APR quote for this account based on semiannual compounding? The APR quote for the…

A: EAR refers to effective annual rate.   APR refers to annual percentage rate.   EAR takes into…

Q: You borrow money on a self liquidating installment loan (equal payments at the end of each year,…

A: Here, Loan Amount is $754,000 Interest Rate is 15.3% Time Period is 44 years

Q: 4. Calculate the effective annual rate of a loan that charges 1.2% per month. Select one: A. 15.4%…

A: The objective of the question is to calculate the effective annual rate (EAR) of a loan that charges…

Q: Suppose your credit card issuer states that it charges a 17.00% nominal annual rate, but you must…

A: When the borrower borrows a loan from the lender, he has to pay a rate of interest on the borrowed…

Q: 7. If the Nominal or Headline Annual Rate of a credit card that charges interest daily is 25%, what…

A: The annual equivalent rate refers to the interest rate of a loan or a financial product that derives…

Q: If a credit card you are interested in has an APR of 24%, what would the Daily Periodic Rate (DPR)…

A: The Annual Percentage rate (APR) is the percentage rate that shows the interest rate calculates on…

Q: A 3% discount rate is given. Compute for the interest rate. O 3.09% O 5.09% O 6.09% O 4.09%

A: Zero coupons are bonds a type of bonds which are issued at discount and redeemed at par. Selling…

Q: onsider a loan at 4.125% APR on 6 years for a $23,000 car a. Estimate the monthly payment (using…

A: Equated Monthly Installments are one part of the equally divided monthly outgoes to clear off an…

Q: rest rate is 1.2% per month, what is the APR?   2) Which is better if you’re taking a car

A: APR is annual percentage rate that is interest rate without compouding of interest and APR is much…

Q: Find the APR (true annual interest rate), to the nearest 0.01%, for the loan given below. Purchase…

A: The question is based on the concept of Financial Management.

Q: 21) If the APR is 12% on a credit card with monthly compounding, what is the EAR ((1+r) B) 12.68% C)…

A: EAR means Effective annual rate.It is calculated by following formula:-EAR =  - 1where,EAR  =…

Q: The Central Bank pays 3.6% compounded monthly on certain types of deposits. What is the effective…

A: Given information: Interest rate is 3.6% Compounded monthly

Q: Suppose that you want to take out a loan and that your local bank wants to charge you an annual real…

A: Compute the nominal interest rate: Nominal interest rate is calculated by using following formula:

Q: Consider a $5,000, 6%, 180-day interest-bearing note and a non-interest- bearing note for the same…

A: The notes are used by borrowers for raising funds that are categorized as interest bearing and…

Credit card

A credit card is provided by financial institutions or banks, which permits a person to borrow money on a preapproved limit for purchases on a credit basis. The credit limit is decided by the institution and bank which issues a credit card depending on the person’s credit score and income. A cardholder can use the card for credit purchases, a balance transfer, cash advances.