Ancog purchased a parcel of land somewhere in Brgy Tignapoloan. She paid P150,000 for the down payment and agreed to pay P20,000 every 3 months for the succeeding 10 years. Assuming that the seller’s interest is at 10% compounded quarterly.  What was the cash price of the lot? If Engr. Ancog was not able to pay for the first 12 payments, what amount should she pay at the time the 13th is due to bring her payments updated? After paying for 8 payments, Engr. Ancog wants to pay the entire remaining amount by a single payment at the time when the 9th regular payment will be due. How much should she pay including her 9th payment?

Q: Janet purchased a new house for $120,000, obviously not in New York. She paid $35,000 down and…

A: Cost of house = $ 120,000 Down payment = $ 35,000 Loan amount (PV) = 120,000-35,000 = $ 85,000…

Q: ce. She financed the remaining balance for 9 months at an annual interest rate of 5.5% compounded…

A: Answer : Annual interest rate = 5.5% Effective annual interest rate = ((1+5.5%/12)^12-1) Effective…

Q: Donald buys a machine from Biden Manufacturer and signs a contract that calls for a down payment of…

A: First, we need to determine the equivalent annual interest rate as the payments are made monthly,…

Q: arles secured a 5-year car lease at 6.50% compounded annually that required her to make payments of…

A: Cars are purchased by the monthly payments and this makes easy for the customers to buy the car and…

Q: A has been paying rent of $850 at the beginning of each month for the last 12 years. If he had…

A: Annuity refers to series of equalized payments that are paid or received at start or ending of…

Q: Chiara purchased a new natural gas barbecue for $2,300 and made a down payment that was 30% of the…

A: Purchase price = $2300 Down payment = 30% of Purchase price = 0.30×$2300 = $690 Loan amount =…

Q: Chelsea was supposed to pay Jacob $4,800, 6 months ago, and $1,500, 5 months from now. If she wants…

A: Present value is a financial concept that reflects the current worth of a sum of money to be…

Q: Christina bought a new car for $32,000. She paid a 20%down payment and financed the remaining…

A: Amortization is the process of calculating the equal and regular repayments of a financed amount.…

Q: Shane purchased a house for $400,000. She made a down payment of 15.00% of the value of the house…

A: Let us understand compounding frequency with the help of examples.Suppose there are two loans. One…

Q: Vanessa purchased a car using a 5-year car lease at 6.30% compounded quarterly that required her to…

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

Q: Chiara purchased a new natural qas barbecue for $2,200 and made a down payment that was 30% of the…

A: Annual interest rate = 5.5%   Effective annual interest rate = ((1+5.5%/12)^12-1)   Effective annual…

Q: Kristen purchased a car for $43,000; she paid $2150 as a down payment and financed the balance…

A: Here, Value of Car is $43,000 Down Payment is $2,150 Therefore, Loan Amount is : =$43,000-$2,150…

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: M purchased a small lot in a subdivision, paying P200,000 down and promising to pay P15.000 every 3…

A: r = 12%/4 = 3% t = 10 years*4 = 40 Quarterly payments = P15,000 Loan value = 1-1+r-tr×Quarterly…

Q: The purchaser of a car paid $10,000 cash and agreed to pay $3000 at the end of 6 months for 10…

A: Calculate the future value of the annuities (PMT) that are not paid till the end of 3rd Year.…

Q: Peter was receiving rental payments of $1,300 at the end of each month from his tenants of his…

A: Here,ParticularsValuesMonthly rental payments (PMT) $ 1,300.00Interest rate3.20%Number of…

Q: Jenna bought a new car for $⁢39,000. She paid a 10% down payment and financed the remaining balance…

A: Monthly mortgage payment: The monthly mortgage payment is the repayment of a mortgage loan by paying…

Q: bought a vacation property for $18 900.00 down and sem nnual period for eight years. Interest is…

A: Price of property can be found from down payment and mortgage amount taken.

Q: Madam Dora purchased a TV set for $550 and later decided to sell for $600. She sold it under the…

A: Through hire purchase, consumers may make purchases by making a down payment and then recurring…

Capital Gain

Any capital asset when sold can give the seller a higher or lower price from its purchase price leading to a capital gain or capital loss. The time period of holding an asset is decided based on if it is a long term or short-term capital gain. On that basis, the rate of taxation is decided if it is 20%, 15% or according to the tax brackets. The rate of taxation differs in the case of equity or debt, whether long or short term. The capital gain can be adjusted from capital loss to arrive at a net capital gain. The amount of gains and the exemption has to be reported in the tax return filed in the financial year in which the asset was transferred. The tax return can be filed quarterly, monthly, semi-annually or annually.