A loan of $40,000 is paid off in 36 payments at the end of each month in the following way: Payments of $1000 are made at the end of the month for the first 12 months. Payments of $1000 + x are made at the end of the month for the second 12 months. Payments of $1000 + 2x are made at the end of the month for the last 12 months. What should x be if the nominal monthly rate is 8%?
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- 1. A business loan is amortized constantly through 35 monthly rents, if the first rent is L 8,850 and the rate is 18% compounded by months. What is the value of the credit if before starting the 35 constant amortization rents you make 10 payments of L 5,000.00. Make the amortization table in its first 10 lines and the last 5. How much is the total interest generated?. do the exercise in excelProblem #5: A loan of $49,000 is paid off in 36 payments at the end of each month in the following way: Payments of $1225 are made at the end of the month for the first 12 months. Payments of $1225 + x are made at the end of the month for the second 12 months. Payments of $1225 + 2x are made at the end of the month for the last 12 months. What should x be if the nominal monthly rate is 11.8%?Problem #5: A loan of $53,000 is paid off in 36 payments at the end of each month in the following way: Payments of $1325 are made at the end of the month for the first 12 months. Payments of $1325 + x are made at the end of the month for the second 12 months. Payments of $1325 + 2x are made at the end of the month for the last 12 months. What should x be if the nominal monthly rate is 8.6%? Problem #5: Answer correct to 2 decimals.
- 1. A loan of $14,400 is to be repaid in end-of-the-quarter payments of $600. How many payments are required to repay the loan at 10.5% compounded quarterly? 2. Scheduled payments of $1,010 due five months ago and $1,280 due today are to be repaid by a payment of $615 in four months and the balance in seven months. If money is worth 7.75% p.a. and the focal date is in seven months, what is the amount of the final payment?5. A man takes out a loan of P150, 000 from a credit cooperative, which charges interest at the rate 9.5% simple interest per annum. If the loan is repaid in 48 equal semi-monthly instalments (that is, twice a month), how much should be the amount of each semi-monthly?A payday loan is made for six weeks, where the amount of the interest owed per $100 borrowed is $20. If you borrow $500 for six weeks how much do you owe at the end of six weeks and what is the APR for this transaction?
- A cash loan is to be repaid by paying $13,500 at the beginning of every month for 3 years. If interest rate is 12% compounded quarterly, what is c? A. c = 1/3 B. c = 1 C. c = 4 D. c = 2/3Task: A loan of £1800 is to be repaid with 12 equal monthly instalments. The nominal rate of interest i(12) for the transaction is 6% per annum convertible 12-thly. Find the amount of each monthly repayment, assuming that payments are made at the end of each month, at the beginning of each month. Answer: Let the unit of time be months. Then the (effective = nominal) rate of interest per unit time is (blank). Let the monthly repayment in £ be X. Then (blank) = X (v + v^2 + ... + v^12) = X a12] We calculate the present value of annuity: (blank) Thus X = (blank)A loan of $1000 is paid off in 12 monthly payments of $120 each. What is the effective annual interest rate of this loan? Provide answer in percentage and round to the nearest decimal, e.g., 30%.
- The simple interest rate charged on a $8,600 loan is two-thirds of 1% per month. If the principal and interest are to be paid in seven months, how much interest will be charged?Consider a loan of 800,000 which is to be amortized by 60 monthly payments. The interest rate is 12% converted monthly. 1. How much is the outstanding balance after the 36th payment? 2. How much of the 37th payment goes to pay the interest the principal?Suppose a bank offers to lend you $10,000 for 1 year on a loan contract that calls for you to make interest payments of $350.00 at the end of each quarter and then pay off the principal amount at the end of the year. What is the effective annual rate on the loan? 14.75% 13.28% 12.39% 11.21% 15.34%
