(a) Heather borrowed $5000 from her grandmother as a down payment on her first car. She promised to repay the debt in 2 years at 7% per annum, simple interest. How much should Heather repay her grandmother?

Q: A woman buys a house for a ​$260,000. She pays ​$20,000 down and takes out a mortgage at 5.1​% for…

A: Purchase Price of House = pp = $260,000Down Payment = dp = $20,000Compound = Monthly = 12Interest…

Q: Tom borrowed $80,000 at a rate of 6.5% from bank for his new house. This is a 30 year monthly paid…

A: Given, Tom borrowed = $80,000 Rate= 6.5% Time period= 30 year

Q: Gabby is planning to buy a home.  She has some money for a down payment already saved.  She sees a…

A: Step 1). Monthly payment on the borrowing is calculated using following equation Monthly payment =…

Q: Nate agreed to pay $550,000 for a house. He made a $125,000 down payment and financed the balance…

A: We need to use loan amortization formula below to calculate monthly payment PMT =P*i1-1(1+i)n where…

Q: aria secure a loan of $12,000 3 years ago from a bank for used toward her college expenses. The bank…

A: Equated monthly installments (EMI) is the equally divided installments of the loan outstanding…

Q: 10. Tammy purchased a vehicle for $35,000 two years ago using a 5 percent, 5-year loan. She has…

A: In an amortized loan, the borrower makes regular payments at regular intervals. The payments…

Q: Janet's parents want her to go to the same college that they did. They decided to pay a lump sum…

A: Given information,Compounding frequency: QuarterlyAmount deposited: Rate: NPER for future value:…

Q: Isabel Lopez from Lewiston, Idaho, who is 19 years old, recently received an inheritance of $55,000…

A: The Certificate of Deposit is a savings instrument that provides a fixed rate of return to the…

Q: Sarah wants to save $20,000 to use for a down payment on a home. She deposits some money into a…

A: Individuals can save for expenditure by investing in financial instruments in which money grows at a…

Q: Mia Sato purchased a new condominium for $225,000.  The bank required a $40,000 down payment.…

A: The first step is to determine the amount of the loan. This is done by subtracting the down payment…

Q: 15. Vasya and his American best friend Basil cannot afford to buy both a car and a house, so they…

A: The present value of the loan refers to the amount borrowed as a loan on which interest is…

Q: Sarah secured a bank loan of $150,000 for the purchase of a house. The mortgage is to be amortized…

A: A mortgage is a loan used to purchase a property or real estate. The property serves as collateral…

Q: Ann Hopkins borrowed $60,000 for her child’s education. She must repay the loan at the end of 8…

A: Future value can be defined as the worth of money at a future date, computed in accordance with the…

Q: Jen Logan bought a home in Iowa for $110,000. She put down 20% and obtained a mortgage for 30 years…

A: Here, Particulars Values Price of a house   $ 110,000.00 Down payment (20%*$110,000)  $…

Q: 16. Madison purchased a new car for $29,000. She was allowed $3,000 for her trade in and financed…

A: In the given question we are required to calculate monthly payment paid by madison for the purchase…

Q: Sonia buys a house for $250,000. she makes a down payment of 15% of the purchase price and takes a…

A: Cost of house = $ 250,000 Down payment = 15%

Q: 88) Kathy is buying her first home.  She is financing a total of $185,000 at an APR of 5% for 25…

A: "Since you have asked multiple questions, the first question was answered for you. If you want the…

Q: Kelsey's parents wère unable to pay for her last year of college, so she obtained a student loan of…

A: Loan: It represents the amount borrowed from the lender by the borrower in exchange for repayment…

Q: Sarah secured a bank loan of $155,000 for the purchase of a house. The mortgage is to be amortized…

A: When a loan is taken to buy a big ticket item like a house the borrower usually makes monthly…

Q: Judy recently purchased her first home for $220,000. She made a down payment of $20,000, and…

A: First we need to calculate PV annuity factor for loan to calculate monthly payment. Since payment is…

Q: рауm parents agree to lend her money at an annual rate of 5%, charged as sir interest. They lend her…

A: Simple interest is plain simple and there is no interest on interest and so there is no compounding…

Q: Jason bought a home in Arlington, Texas, for $127,000. He put down 25% and obtained a mortgage for…

A: Price of home = $ 127000 Down payment = 25% Loan amount (PV) = 127000*(1-0.25)…

Q: Anne purchased an annuity from an insurance company that promised to pay her $20,000 per year for…

A: Each cash flow of $20,000 represents two amounts, one is return of original investment and one is…

Q: A taxpayer, age 64, purchases an annuity from an insurance company for $50,000. She is to receive…

A: The expected return is an amount of return or maybe a percentage of return that the investor wants…

Q: d in exchange she will receive $170,000 over 000 payment should Anne include in gross in mediate…

A: Annuity - An arrangement between a person and the insurance company to make a number of smaller…

Q: 6) Susan is looking to purchase her first home five years from today. The house costs $1,550,000.…

A: A concept that implies the future worth of the money is lower than its current value due to several…

Q: Nona purchased a new car earlier today for $24,000. She financed the entire amount with a five-year…

A: Loan installment is that which is paid by borrower to lender for a specified period of time. This…

Q: Emma plans to loan $1,000 to her friend, who will pay a simple interest rate of 5.8% every year for…

A: The objective of the question is to calculate the amount of money Emma's friend will owe her after…

Q: a mother earned $15000.00 from royalties on her cookbook. She set aside 20% of this for a down…

A: Amount earned in royalties is $15,000 Amount set aside is 20% Amount invested is 15000×1-20%=…

Q: Jake just got a ​$96000 mortgage in order to buy a new​ home, and he was able to get a 30 year loan…

A: Loan Amount (pv) = $96,000Interest Rate (rate) = 5.5%Time Period = 30 YearsNumber of Payments in a…

Q: A mother earned $18750.00 from royalties on her cookbook. She set aside 20% of this for a down…

A: The interest earned from all the categories of investment that a single investor has made is known…

Q: Your grandmother bought an annuity from Great-West Life Insurance Company for $361,220 when she…

A: Here,Amount Invested is $361,220Annuity Amount is $30,000Interest Rate is 6%

Q: Tom Burke bought a home in Virginia for $160,000.  He puts down 25% and obtains a mortgage for 30…

A: Home cost = $160,000 Down payment = 25%*$160,000 = $40,000 Mortgage period = 30 years  Interest rate…

Q: Nona purchased a new car earlier today for $33,000. She financed the entire amount with a six-year…

A: Present value is an estimate of the present value of future cash values ​​that may be received at a…

Q: 13) Jane needs $30,000 to buy another new car in eight years. How much should she deposit at the end…

A: Periodic payments are made at regular intervals, with the same amount paid for each period. The…

Q: Jeni has decided that she needs to start saving for her retirement. She can afford $100 a month…

A: The account value at retirement can be calculated with the help of future value of annuity function.

Q: Lashonda wants to buy a new house but needs money for the down payment. Her parents agree to lend…

A: Simple Interest Can be computed as below. Simple Interest = Principle X Rate of Interest X Time

Q: Rula has purchased a new car for $20.000. She paid $3.000 as a down payment, and she paid the…

A: Given Information: New Car purchased = $20,000 Down payment = $3,000 Equal annual installments =…