Cate bought a new car for $25,000. The bank granted her a loan with a simple interest rate of 7% over a 5-year period. How much will Cate pay in interest by the end of the loan? $3,500 $8,750 $7,142 $1,750

Cate bought a new car for $25,000. The bank granted her a loan with a simple interest rate of 7% over a 5-year period. How much will Cate pay in interest by the end of the loan? $3,500 $8,750 $7,142 $1,750

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Matty deposits $1,300.00 into a Savings Account at their bank. The annual compound interest rate 2%. How much interest did they earn after after 10 years? Enter answer in format: $ 00.00 Question 2 Suzy deposits $2,400.00 into a Savings Account at their bank. The annual compound interest rate 2.5%. How much interest did she earn after after 15 years? Enter answer in format: $ 00.00
Juni buys a new car. Her auto loan is $12,000 with an annual interest rate of 3% compounded monthly for 5 years. Her monthly payment is $287 The following table shows the first payment in the amortization schedule. Payment number Loan Amount Payment Interest Principal Remaining Balance 1 12,000 287 ? ? ? Interest: $30 Interest: $8.61 Principal: $278.39 Principal: $257 Remaining Balance: $11,743 Remaining Balance: $ 11,721.61
Morgan received a $29,050 loan from a bank that was charging interest at 3.25% compounded semi-annually. a. How much does she need to pay at the end of every 6 months to settle the loan in 6 years?
Loretta bought a home for $210,000 with a down payment of $30,000. Her rate of interest is 5 5/8% for 15 years. Calculate Loretta's payment per $1000 and her monthly mortgage payment. Round "payment per $1,000" to five decimal places. Round "monthly mortgage payment " to the nearest cent.
Nikul
Kim borrowed money from a bank to buy a fishing boat. He took out a personal, amortized loan for $18,500 , at an interest rate of 5.9%, with monthly payments for a term of 6 years Find Joe's monthly payment. (b) If Joe pays the monthly payment each month for the full term, find his total amount to repay the loan. (c) If Joe pays the monthly payment each month for the full term, find the total amount of interest he will pay. Please answer all subparts with explanation. I will really upvote. Thanks
While buying a new car, Ryan made a down payment of $1,200 and agreed to make month-end payments of $320 for the next 3 years and 6 months. She was charged an interest rate of 4% compounded semi-annually for the entire term. a. What was the purchase price of the car? b. What was the total amount of interest paid over the term? Since the birth of her daughter, 18 years ago, Jeremy has deposited $150.00 at the beginning of every month into an RESP. The interest rate on the plan was 3.00% compounded monthly for the first 9 years and 3.60% compounded monthly for the next 9 years. a. Calculate the value of the fund today (the end of 18year term b. How much of this is interest?
Lupe made a down payment of $2,500 toward the purchase of a new car. To pay the balance of the purchase price, she has secured a loan from her bank at the rate of 12%/year compounded monthly. Under the terms of her finance agreement, she is required to make payments of $240/month for 30 mo. What is the cash price of the car? $4,433.24 $8,693.85 $6,193.85 $10,848.37 Question 16 Robin, who is self-employed, contributes $4,500/year into a Keogh account. How much will he have in the account after 20 years if the account earns interest at the rate of 9.5%/year compounded yearly? $27,637.25 O $7,790.74 $243,550.05 O $290,918.47
Amanda borrowed $6,095 from her best friend, 11 months later, Amanda repaid her $7,005. Calculate the effective annual interest rate.
Smith family borrowed a large sum of money to purchase their family car.The interest rate on their loan was 5%. The lender agreed to the following repaymentschedule, $5300 at the end of the first year and $5300 at the end of the second year.How much did Smith family borrow?