A housewife bought a brand new washing machine costing P12,000 if paid in cash. However, she can purchase it on installment basis to be paid within 5 years. If money is worth 8% compounded annually, what is her yearly amortization if all payments are to be made at the beginning of each year?

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: Nina buys a piece of lot for P30,000 down payment and 8 deferred semi-annual payments of P 5,000…

A: Annuity: A contract between you and another party known as an annuity obligates the borrower to pay…

Q: ack buys a a car from a chant who offers P 748,000.00 at the end of 5 years. Jack wishes to pay…

A: As per the honor code of Bartleby we are bound to give the answer of first three sub part, please…

Q: months over 3 years at 7% per year compounded quarterly. much is Ana's quarterly payment?

A: Formula to calculate quarterly payment under loan: Annuity amount Loan…

Q: A professional soccer player has a deferred compensation annuity that pays her $2,400 at the end of…

A: Present value refers to the current value of the future cash flows when discounted for the given…

Q: Susan Orman wants to pay $1500 semiannually to her granddaughter for 10 years for helping her around…

A:

Q: Anna deposits at the beginning of every month of P1,500 into an annuity for 6 years. If she wishes…

A: In this we need to calculate present value factor monthly to get the interest rate.

Q: Jake paid 100,000 pesos as down payment for a farm. The remaining amount is to be settled by paying…

A: Time value of money (TVM) refers to the concept which proves that the value of money today is higher…

Q: Benjamin borrows $50,000 from a lending institution for building a house. The lending institution…

A: The question is based on the concept of amortization of mortgage loans. A mortgage loan is paid back…

Q: A man purchases a lot worth 5M if paid in cash. On installment basis, he paid P800,000 down payment,…

A: Data given: Lot worth = P 5M = P 5000000 Down payment = P800,000 Loan amount = P 5000000 - P 800,000…

Q: Julie and Rex Parker plan to buy a $310,000 home, paying 20% downpayment and financing the balance…

A: The PMT function or concept can be used to determine the periodic payments required to accumulate a…

Q: b. Calculate the upfront amount that she should pay under the alternative payment agreement so that…

A: Equivalent value today is present value of both payments based on time and interest rate off money…

Q: Clara borrows $41,000 today at 2.9% per year compounded quarterly, to start her own buisness. she…

A: Given, Loan amount (p) = $41,000 Interest rate (r) = 2.9% Number of compounding periods (m) = 4…

Q: Sam needs a new roof for her house. She can pay cash, or pay by installments. Payments would be…

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

Q: An insurance settlement of $2.5 million must replace Trixie Eden's income for the next 25 years.…

A: We use PMT function to calculate monthly income

Q: In five years, P 20,000 will be bedded to pay for a building renovation. In order to generate this…

A: Here we will have to find the future value of the annuity at the end of the 3rd year and then…

Q: You would like to have $15,000 in 4 years for a down payment on a home. How much would you need to…

A: Future value or amount required for down payment = FV = $15,000 Semiannual period of annuity = t = 8…

Q: When Jasmine retires she has $950,000 in a retirement account that earns 6% annual interest,…

A: Using PMT function in excel

Q: determine if Elora would be able to buy the land

A: First we need to determine the effective annual interest rate using the formula below:

Q: Margarita borrows R10,000 from her uncle and agrees to repay it in monthly instalments of R200. Her…

A: Loans are paid in equal monthly payments and these payments carry the payment for interest and…

Q: your sister bought a condominuim unit for 9,300,000 peso through a condominium loan which she avaied…

A: The monthly amortization is the payment that has to be paid or received at the end of every month.

Q: A boy borrows 25000 from father. His father lends him the money, on the condition that he would be…

A: Here, Borrowed Amount is 25,000 First year monthly payment is 500 Interest Rate is 5.2% Compounding…

Q: A laptop was purchased worth Php 90000. This is through an installment of 2 year and there is also…

A: Time value of money is used in the calculation of the monthly instalment to be paid, the future…

Q: Ms. C took a loan of $150,000 at a rate of 7 percent. She can pay equal installments of $25,000 at…

A: PV(loan amount) = 150,000I/Y (interest rate) = 7%PMT (periodic payment) = 25,000

Q: Engr. Fernandez bought a brand new mini ipad costing P38,000 if paid in cash. However, she can…

A: Installment in consumer finance is given by PV = E(1-(1+r)-p)/r Where E = annual instalment =? r =…

Q: A young executive is going to purchase a vacation property for investment purposes. She needs to…

A: Loan Amortization is a process of scheduling loan payments at fixed intervals of time with fixed…

Q: 8 years from now Jennifer will need $750,000 to renovate a rental property at interest rate of 9%…

A: The time value of money concept is applied to determine the equated instalment amount of deposit to…

Q: An employee obtained a loan of P100,000.00 at the rate of 6% compounded annually in order to build a…

A: The series of monthly payments is a form of annuity wherein an equal amount is paid every month.

Q: an employee obtain a loan of 10000 at the rate of 6% compounded annually in order to repair his…

A: Amortized loan refers to a loan where the principal amount of the loan is paid over the life of the…

Q: In order to accumulate enough money for a down payment on a house, a couple deposits $244 per month…

A: Future value refers to the future worth of a present sum. Annuity refers to the periodic payment…

Q: 1. Your sister bought a condominium unit for P9 300 through a condominium loan which she availed of…

A: price of condominium = P9300 downpayment = 30% financed amount = p9300 x (1-30%) = P9300 X 70% =…

Q: Student E saves his allowance worth of P 25,000 and promised to use it only when it reaches the…

A: Present value (PV) = P 25,000 Future value (FV) = P 45,000 Interest rate = 8% Quarterly interest…

Q: Cheska is saving for her dream cellphone. She deposits 2,000 pesos at the end of each month that…

A: Future Value refers to value of any current amount or flow of recurring payments at some future date…

Q: Michael bought a laptop and paid P12,000 down payment plus P10,000 at the end of each month for a…

A:

Q: Today, Engr Santos borrowed Php 250,000 to purchase furniture for her new office. She can repay the…

A: Answer:-  Interest meaning:- The cost of borrowing money from a lender is generally referred to as…

Q: A man purchases a lot worth 5M if paid in cash. On installment basis, he paid P800,000 down payment,…

A: Cost = P5,000,000 Down payment = P800,000 Payment at year end = P900,000 Payment at third year end =…

Q: Mary deposits her P500,000 in a saving bank that gives nominal interest if P9.4% compounded…

A: Time value of money (TVM) is a concept which states that the money today has more worth than the…

Q: 8) An engineer received a bonus of $10,000. If he deposits it now at an interest rate of 8% per…

A: Let the money accumulate for n years. Bonus (B) = $10000 r = 8% Amount to be withdrawn after the…

Q: leslady told her that she can purchase it on installment basis to be paid with oney is worth 8%…

A: Loans are paid annual installments and these installments carry the payment for interest and payment…