Consider the following loan. Complete parts (a)-(c) below. An individual borrowed $65,000 at an APR of 5%, which will be paid off with monthly payments of $442 for 19 years. ... a. Identify the amount borrowed, the annual interest rate, the number of payments per year, the loan term, and the payment amount. the loan term is years, and the annual interest rate is %, the number of payments per year is The amount borrowed is $ the payment amount is $
Consider the following loan. Complete parts (a)-(c) below. An individual borrowed $65,000 at an APR of 5%, which will be paid off with monthly payments of $442 for 19 years. ... a. Identify the amount borrowed, the annual interest rate, the number of payments per year, the loan term, and the payment amount. the loan term is years, and the annual interest rate is %, the number of payments per year is The amount borrowed is $ the payment amount is $
Chapter4: Time Value Of Money
Section4.17: Amortized Loans
Problem 1ST
Related questions
Question
![K
Consider the following loan. Complete parts (a)-(c) below.
An individual borrowed $65,000 at an APR of 5%, which will be paid off with monthly payments of $442 for 19 years.
...
a. Identify the amount borrowed, the annual interest rate, the number of payments per year, the loan term, and the payment amount.
The amount borrowed is $
%, the number of payments per year is
the loan term is years, and
the payment amount is $
the annual interest rate is
"](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F4f07f1fc-c1c5-43de-ad13-01ae8930f316%2Ff1a7e002-eda5-4c15-a2b2-b99a8b3eac83%2Fkao5wv3_processed.jpeg&w=3840&q=75)
Transcribed Image Text:K
Consider the following loan. Complete parts (a)-(c) below.
An individual borrowed $65,000 at an APR of 5%, which will be paid off with monthly payments of $442 for 19 years.
...
a. Identify the amount borrowed, the annual interest rate, the number of payments per year, the loan term, and the payment amount.
The amount borrowed is $
%, the number of payments per year is
the loan term is years, and
the payment amount is $
the annual interest rate is
"
Expert Solution
![](/static/compass_v2/shared-icons/check-mark.png)
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
![Blurred answer](/static/compass_v2/solution-images/blurred-answer.jpg)
Follow-up Questions
Read through expert solutions to related follow-up questions below.
Follow-up Question
![onsider the following loan. Complete parts (a)-(c) below.
n individual borrowed $65,000 at an APR of 5%, which will be paid off with monthly payments of $442 for 19 years.
...
a. Identify the amount borrowed, the annual interest rate, the number of payments per year, the loan term, and the payment amount.
The amount borrowed is $ 65000, the annual interest rate is 5%, the number of payments per year is 12, the loan term is 19 years,
and the payment amount is $ 442.
b. How many total payments does the loan require? What is the total amount paid over the full term of the loan?
There are 228 payments toward the loan and the total amount paid is $ 100776
c. Of the total amount paid, what percentage is paid toward the principal and what percentage is paid for interest?
The percentage paid toward the principal is% and the percentage paid for interest is%.
(Round to the nearest tenth as needed.)](https://content.bartleby.com/qna-images/question/4f07f1fc-c1c5-43de-ad13-01ae8930f316/b359396e-296f-4b97-8078-1d3d3b97c487/des6mq_thumbnail.jpeg)
Transcribed Image Text:onsider the following loan. Complete parts (a)-(c) below.
n individual borrowed $65,000 at an APR of 5%, which will be paid off with monthly payments of $442 for 19 years.
...
a. Identify the amount borrowed, the annual interest rate, the number of payments per year, the loan term, and the payment amount.
The amount borrowed is $ 65000, the annual interest rate is 5%, the number of payments per year is 12, the loan term is 19 years,
and the payment amount is $ 442.
b. How many total payments does the loan require? What is the total amount paid over the full term of the loan?
There are 228 payments toward the loan and the total amount paid is $ 100776
c. Of the total amount paid, what percentage is paid toward the principal and what percentage is paid for interest?
The percentage paid toward the principal is% and the percentage paid for interest is%.
(Round to the nearest tenth as needed.)
Solution
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, finance and related others by exploring similar questions and additional content below.Recommended textbooks for you
![Pfin (with Mindtap, 1 Term Printed Access Card) (…](https://www.bartleby.com/isbn_cover_images/9780357033609/9780357033609_smallCoverImage.jpg)
Pfin (with Mindtap, 1 Term Printed Access Card) (…
Finance
ISBN:
9780357033609
Author:
Randall Billingsley, Lawrence J. Gitman, Michael D. Joehnk
Publisher:
Cengage Learning
Principles of Accounting Volume 1
Accounting
ISBN:
9781947172685
Author:
OpenStax
Publisher:
OpenStax College
![Pfin (with Mindtap, 1 Term Printed Access Card) (…](https://www.bartleby.com/isbn_cover_images/9780357033609/9780357033609_smallCoverImage.jpg)
Pfin (with Mindtap, 1 Term Printed Access Card) (…
Finance
ISBN:
9780357033609
Author:
Randall Billingsley, Lawrence J. Gitman, Michael D. Joehnk
Publisher:
Cengage Learning
Principles of Accounting Volume 1
Accounting
ISBN:
9781947172685
Author:
OpenStax
Publisher:
OpenStax College
![EBK CONTEMPORARY FINANCIAL MANAGEMENT](https://www.bartleby.com/isbn_cover_images/9781337514835/9781337514835_smallCoverImage.jpg)
EBK CONTEMPORARY FINANCIAL MANAGEMENT
Finance
ISBN:
9781337514835
Author:
MOYER
Publisher:
CENGAGE LEARNING - CONSIGNMENT