$2350 was borrowed 4-years ago, is to be settled by following payments: $1175 today, $1030 in 7-months from now, and a final payment in 19 months from now. What is the BALANCE(amount owing) of the loan BEFORE the following payments if the interest rate on the loan is 14% compounded monthly? Today in 7 months in 19 months (Round All Answers to 2 Decimals) $ $

$2350 was borrowed 4-years ago, is to be settled by following payments: $1175 today, $1030 in 7-months from now, and a final payment in 19 months from now. What is the BALANCE(amount owing) of the loan BEFORE the following payments if the interest rate on the loan is 14% compounded monthly? Today in 7 months in 19 months (Round All Answers to 2 Decimals) $ $

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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The interest rate for the first four years of an $89,000 mortgage loan is 8.3% compounded semiannually. Monthly payments are calculated using a 20-year amortization.a. What will be the principal balance at the end of the four-year term? (Do not round intermediate calculations and round your final answer to 2 decimal places.)Principal balance $ b. What will be the monthly payments if the loan is renewed at 5.7% compounded semiannually (and the original amortization period is continued)? (Do not round intermediate calculations and round your final answer to 2 decimal places.)Payment $ per month
$2350 was borrowed 4-years ago, is to be settled by following payments: $1175 today, $1030 in 7-months from now, and a final payment in 19-months from now. What is the BALANCE(amount owing) of the loan BEFORE the following payments if the interest rate on the loan is 14% compounded monthly? Today in 7 months in 19 months $ $ $ (Round All Answers to 2 Decimals)
The interest rate on a $63,000 loan is 9.5% compounded semiannually. Quarterly payments will pay off the loan in twelve years. Do not round intermediate calculations and round your final answers to 2 decimal places. a) Calculate the interest component of Payment 10. b) Calculate the principal component of Payment 40. c) Calculate the total interest in Payments 29 and 40 inclusive. d) Calculate the reduction or principal in year 5.
Assume that a one-year CD purchased for $1000 pays an APR of 6% that is compounded semi-annually. How much is in the account at the end of each compounding period? (Calculate the interest and compound it each period rather than using the compound interest formula. Round your answers to the nearest cent.) first period $ second period $ How much total interest does it earn? (Round your answer to the nearest cent.)$ What is the APY? %
The interest rate on a $100,000 loan is 7.2% compounded semiannually. The monthly payments on the loan are $700. Do not round intermediate calculations. Round the PMT and final answers to 2 decimal points. a) Calculate the interest component of Payment 221. b) Calculate the principal component of Payment 156. c) Calculate the final payment.
D K Dan borrowed $906.00 today and is to repay the loan in two equal payments. The first payment is in three months, and the second payment is in nine months. If interest is 5% per annum on the loan, what is the size of the equal payments? Use today as the focal date. The size of the equal payments is $ (Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.)
A mortgage of $38,000 is repaid by making payments of $270 at the end of each month for 13 years. What is the nominal annual rate of interest compounded annually? The nominal annual rate of interest is % compounded annually. (Round to two decimal places as needed.) V
A demand loan for $10,088.75 with interest at 7.1% compounded annually is repaid after 4 years, 8 months. What is the amount of interest paid? The amount of interest is $ (Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.)
What is the nominal annual rate of interest compounded monthly if a 9-year loan of $57,300 is repaid by monthly payments of $781.91 made at the end of each month? The nominal annual rate of interest is % compounded monthly. (Round to two decimal places as needed.)
Suppose you borrow $14,000. The interest rate is 11%, and it requires 4 equal end-of-year payments. Set up an amortization schedule that shows the annual payments, interest payments, principal repayments, and beginning and ending loan balances. Round your answers to the nearest cent. If your answer is zero, enter "0". Beginning Repayment Ending Year Balance Payment Interest of Principal Balance 1 $ fill in the blank 60 $ fill in the blank 61 $ fill in the blank 62 $ fill in the blank 63 $ fill in the blank 64 2 $ fill in the blank 65 $ fill in the blank 66 $ fill in the blank 67 $ fill in the blank 68 $ fill in the blank 69 3 $ fill in the blank 70 $ fill in the blank 71 $ fill in the blank 72 $ fill in the blank 73 $ fill in the blank 74 4 $ fill in the blank 75 $ fill in the blank 76 $ fill in the blank 77 $ fill in the blank 78 $ fill in the blank 79
A loan of $2766 borrowed today is to be repaid in three equal installments due in two years, three years, and six years, respectively. What is the size of the equal installments if money is worth 7.7% compounded annually? The payments are each $ ☐ (Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.)
The interest rate on a $15,300 loan is 9.7% compounded semiannually. Semiannual payments will pay off the loan in nine years. (Do not round intermediate calculations. Round the PMT and final answers to 2 decimal places.) a. Calculate the interest component of Payment 12. $ b. Calculate the principal component of Payment 5. Principal c. Calculate the interest paid in Year 8. Interest paid d. How much do Payments 5 to 8 inclusive reduce the principal balance? Principal reduction Interest

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