A loan of $21,238 was repaid at the end of 10 months. What size repayment check (principal and interest) was written, if a 10.3% annual rate of interest was charged? CD LIUSE The amount of the repayment check was $ 23.000 93 (Round to two decimal places)

Q: A loan of $21,919 was repaid at the end of 18 months. What size repayment check (principal and…

A: Answer -    Given Data, P = $ $21919 r = 10.7% = 0.107 t  = 18 months = 18/12 = 1.5 yrs   Formula,…

Q: A 180-day simple interest note was signed on March 15, 20xx with a face value of 65,000 at 8.25% per…

A: Here, Face value = 65,000 Interest rate = 8.25% Discount rate = 11% Time to maturity = 180 days To…

Q: The amount of P100,000.00 was deposit in the bank earning an interest of 7.5% per annum. Determine…

A: Answer : Principal (P) = 100,000 Interest (r) = 7.5%  Time (n) = 5 Amount = P (1 + r/100)^n

Q: A $2600 certificate of deposit held for 88 days was worth $2635.59. What simple interest rate was…

A: The present value and the future value of a certificate of deposit are known. The simple rate of…

Q: Answer the following questions. (Round interest rate to 0 decimal places, e.g. 7%.) (1) If the note…

A: Given information Interest expenses  = $511 Notes payable ( p ) = $4700 Duration (n) = 3 months…

Q: XTZ Company took a loan from the bank for 10 years, and compounded quarterly interest of 8.7 per…

A: Loans play a pivotal role as crucial financial instruments that empower both individuals and…

Q: Find the compound interest earned if PhP 30,860 is deposited in a bank at 2.8% compounded monthly…

A: Future Value refers to the value of the current asset or investment or of cash flows at a specified…

Q: Your company are offered a bank loan with an annual percentage ate (APR) of 5 percent with quarterly…

A: We need to use effective annual rate formulas below Effective annual rate = 1+rnn -1          r =…

Q: A loan of $34,200.00 at 5.50% compounded semi-annually is to be repaid with payments at the end of…

A: The objective of the question is to calculate the size of the periodic payment and the total…

Q: What will be the total interest earned on a 6%, $2,000 note receivable that is due in nine months?

A: Accounts receivable: Accounts receivable refers to the amounts to be received within a short period…

Q: A 2300 note with interest is repaid after 90 days with a check for 2,374.75 What was the interest…

A: Interest Amount = P * R * TWhere P = PrincipalR = Rate of InterestT = Time Period…

Q: Month-end payments of $1,450 are made to settle a loan of $123,700 in 8 years. What is the effective…

A: The objective of this question is to find the effective interest rate of a loan that is being paid…

Q: A loan of $25,250.00 at 4.00% compounded semi-annually is to be repaid with payments at the end of…

A: Payment per period can be calculated using PMT function in excel.PMT(rate, nper, pv, [fv],…

Q: A credit is paid as follows: a down payment corresponding to 30% of the value of the credit, 16…

A: Fist we need to calculate present value of all payments starting at 3 months after by using annuity…

Q: A loan is repaid by making payments of $2000 at the end of every six months for 12 years. If…

A: Semiannual payment (c) = $2000 Semiannual period (n) = 24 (i.e. 12 years * 2) Nominal interest rate…

Q: A P22,000 loan bearing interest at 9.6% compounded bimonthly was repaid, after a period of deferral…

A: Interest rate (r) = 9.6% per annum = 9.6%/24 per bimonthly = 0.4% Bimonthly payment (B) = P 2600…

Q: Find the compound interest earned if PhP 31,496 is deposited in a bank at 2.6% compounded monthly…

A: Present value is the sum of the current value of money of future cash flows. It is also known as a…

Q: Month-end payments of $1,450 are made to settle a loan of $123,700 in 8 years. What is the effective…

A: Month-end payments = $1,450Loan amount = $123,700Number of years = 8 years

Q: An automobile loan of $26,000 at a nominal rate of 12% compounded monthly for 48 months requires…

A: Amortization table is a schedule which shows periodic lease or loan payments. The periodic payment…

Q: nterest rate charged on the loan was 3.5% co

A: Answer : Amount = $15000 Time = 6 year 6 month Rate of interest = 3.5%  Interest compounded monthly…

Q: Calculate the amount obtained for the following loans a) RM 2,500 with interest 7.5% compounded…

A: FUTURE VALUE IS THE VALUE OF PRESENT AMOUNT COMPOUNDED TO FUTURE DATE formula: Fv =PV×1+RMM×N where,…

Q: Loan amount is Rs. 10,000, to be repaid in 5 equal monthly payments of principal and interest.…

A: A Flat rate of interest refers to the amount of interest is fixed over time. In this method, the…

Q: Royal Bank issued a loan of $90,000 at 6.94% compounded semi-annually. The loan was repaid by…

A: The periodic payment is the regular and equal repayment of the loan amount over the period of the…

Q: Legitimate Financial Services made a loan at 9.75% interest for 252 days. If the amount of interest…

A: The objective of this question is to find the principal amount borrowed given the interest rate, the…

Q: loan of $37,100.00 at 6.00% compounded semi-annually is to be repaid with payments at the end of…

A: The objective of the question is to calculate the size of the periodic payment and the total…

Q: an of $22,450 at 5.81% compounded semi-annually is to be repaid with payments at the end of every 6…

A: Loans are paid by equal periodic payments and these payments carry the payment for interest and…

Q: A debt of $6436.51 is repaid by payments of $1707.02 in 3 months, $1233.91 in 13 months, and a final…

A: Given variables in the question:Debt=$6436.51Payment details:In 3 months=$1707.02In 13…

Q: State Bank made a loan at 12% interest for 360 days. If the amount of interest was $931.80, use the…

A: The objective of the question is to find the principal amount borrowed from the bank using the…

Q: A bank CD that pays 7.88 percent compounded monthly. (Round answer to 2 decimal places, e.g.…

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

Q: A loan of $25,000 at an annual rate of 14% is repayable through 5 annual year-end payments. The…

A: Certainly! To calculate the annual payment on a loan, you can use the formula for an annuity…

Q: A loan of £100,000 is repaid in 11 annual instalments of £13,900, with the first repayment due in…

A: Loan amount (P) = £100,000 Annual payment = £13,900 Period = 11 years Interest rate = ?   We will…

Q: CIBC issued a loan of $76,000 at 8.37% compounded semi-annually. The loan was repaid by payments of…

A: A loan is a financial arrangement in which one or more people, companies, or other entities lend…

Q: A loan of £10,000 is repaid in 10 annual instalments of £1,3 What is the interest rate? i= Enter a…

A: in this question we will be calculating the interest rate on the loan ℒ10,000 repaid in  10 annual…

Q: A total of $66,000 is borrowed and repaid with 48 monthly payments, with the first payment occurring…

A:

Q: loan of $245,000 is to be repaid in equal quarterly payments over a perioa of 6years. the interest…

A: In this we need to calculate the quarterly payment and than get the required amount.

Cost of Credit

The cost of credit is an extra amount that the borrower has to pay besides the loan amount. These credit charges may vary from loan to loan. The cost of credit includes interest charges, maintenance charges, and arrangement charges. Some of the costs are mandatorily collected by the lender based on the loan amount and tenure of the loan. The cost of credit is also called finance charges of the credit.