$510 monthly for 60 months. What are the total amount financed and the total finance charge that Walter paid at the end of the 60 months?

Q: John takes out a loan for $9900 at 12% interest compounded monthly and is making payments of $134 a…

A: The monthly payments are the monthly installments that is to be paid by the borrower on the amount…

Q: Phyllis borrowed $1,000 at 2% APR for six months. Use the simple interest formula to calculate the…

A: Calculation of total amount of interest. Year Principle outstanding at opening (A) Interest…

Q: Luke borrows $200 000 from a bank to set up a medical practice. He agrees to pay a fixed interest…

A: Given: Loans = $200,000 Interest rate = 18.48% years = 10years

Q: how much does he need to pay quarterly?

A: A stream of equal cash flows (CF) paid or received periodically is termed as annuity. Annuity due…

Q: George borrows $1200 at 15.5% interest from June 7 through July 21. How much (simple) interest does…

A: Simple Interest = P * R * TP = Principal = $1,200R = Rate = 15.5%T = Time = (June 7 to July 21) = 44…

Q: A mother borrowed 169,908 with 0.07 compounded monthly and promised to pay the amount by 19 equal…

A: Present value of annuity due The present value of annuity due is applied to find out the value of an…

Q: Kyler deposits $225 each month into an annuity at 6.2% annual interest for 25 years . At the end of…

A: Solution:- When an amount is invested somewhere, it earns interest on it. The amount initially…

Q: A man pays his debt in the following manner: P1000 after year 1, P900 after year 2 and P800 and year…

A: The present value is the value of the sum received at time 0 or the current period. It is the value…

Q: A mother borrowed 137,254 with 0.09 interest monthly and promised to pay the amount by 17 equal…

A: Monthly Payment refers to the amount of instalment or payment which is being paid each month for a…

Q: Owen borrowed $28,500 at 9% compounded monthly to buy a car. The loan will be repaid with equal…

A: The loan schedule gives information to the lender and borrower about the loan payments due and the…

Q: A mother borrowed P200.000 with 2% interest monthly and promised to pay the amount in 30 equal…

A: EMI or Equated monthly installment is an arrangement entered between the lending institution and the…

Q: e borrows $200 000 from a bank to set up a medical practice. He agrees to pay a fixed interest rate…

A: Loans are paid by equal monthly payments that carry interest and loan payments.Given:Loans =…

Q: CJ borrowed from a bank at 3.34% compounded semi-ann $1,049 at the end of every six months for 7…

A: The periodic payments are paid to pay the loan and these periodic payments carry the payment for…

Q: Corey received a $36,750 loan from a bank that was charging interest at 3.50% compounded…

A: We need to use loan amortization formula below to calculate semi-annual payment.  where P=Loan…

Q: Ruth bought an insurance for 66,000 at 6% to receive an annuity for 16 years. Find the specified…

A: A stream of equal cash flows (CF) paid or received periodically is termed as annuity. Annuity is…

Q: What was the size of the periodic payments?

A: First, we need to determine the equivalent interest rate as the loan is compounded monthly, but the…

Q: Joyce pays P 2,000 every two months to settle his obligations for two years at 8% compounded…

A: Bimonthly payment (B) = P 2000 r = 8% compounded bimonthly = 8%/6 bimonthly = 1.3333% n = 2 years =…

Q: John borrowed $10,000 and agreed to pay it off with annual 591 эсол у фли 59+ + +95шлеч years. The

A: Amortization is the process of gradually reducing the value of an asset over time, typically for…

Q: Jim invests $15,000 today into an account, If the amount in the account accumulates to $17,364.37 at…

A: The rate of interest can be computed with the help of future value function.

Q: Gabrielle received a loan at 6% p.a. simple interest for 8 months. If he was charged an interest of…

A: Interest rate = 6%Number of periods = 8 monthsInterest received = $272.00

Q: Drew's monthly net income is $2,000. What is the maximum he should use on debt payments? Maximum…

A: Debt payment refers to the regular and scheduled amount of money that an individual or entity pays…

Q: ay off a debt that he took out today, Roger will have to make a payment of $3,500 in 15 months and…

A: The loan amount is the present value of payments made for the loan based on time and interest rate…

Q: G borrows P47,400 with interest at 18% compounded quarterly. How much should he pay to the creditor…

A: Use the Excel FV function with the following inputs to determine the value of investment. RATE =…

Q: Frank invests $ 4500 dollars into an account earning interest compounded quarterly. After 10 years…

A: given, pv = $4500 fv = $5600 n =10 years m =4 (quarterly compounding)

Q: Ahmad earned $475 last summer. He deposited this money in an account that pays an interest rate of…

A: Future value = Present value * (1+rate)^n Where, n = no. of compounding period i.e. 15

Q: Kia deposited $1,300, at the BEGINNING of each year for 26 years in a credit union account. If the…

A: Annuity = a = $1300 Time = t = 26 years Interest rate = r = 8%

Q: Phillip purchased a machine for $20,000 for his company. He paid 5.00% of this amount as a down…

A:

Q: An individual earns $75,000 annually. Monthly rent is $2,200, and 20% of monthly cash income is…

A: Ratio analysis refers to the ratio used for showing the financial performance of the company by…

Q: A mother borrowed 180,378 with 0.09 compounded monthly and promised to pay the amount by 20 equal…

A: The monthly payment can be calculated by using the present value of annuity function

Q: ydia borrows $2000 from a credit card company at 23% annually for two years. Determine Lydia’s…

A: Solution: Amount borrowed =$2,000 Monthly interest rate = 23%/12 = 1.916666% Nos of monthly periods…

Q: The monthly mortgage payment on Flynn‘s home is 690,084. Additionally they pay 1,598.57 in annual…

A: Given: Monthly mortgage payment "PI" - 690,084 ( Note this amount is mentioned exactly in the…

Q: Reese contributed $250.00 every month into an RRSP for 5 years. What nominal annual rate of interest…

A: Solution:-When an equal amount is contributed each period at end of period, it is called ordinary…

Q: Jake borrowed P40,000 from Mike. He promised to pay the principal amount plus the interest at the…

A: The future value of the annuity is the future worth of a cash flow series at a certain rate of…

Q: What amount must I deposit in the bank to receive $6,000 in twelve years if my account pays 3.5%…

A: Interest is an additional amount which is received over the period at fixed rate. Depositor get sum…

Q: Harlan made equal payments at the end of each month into his RRSP. if interest in his account is…

A: The contribution to RRSP are made monthly and these monthly payments grow over the period of time to…

Q: Please provide the given, required, and complete solution with units. Thank you. At age 30,…

A: As the number of compounding increases the effective interest rate increases and there is more…

Q: Gabrielle obtained a business loan of $245,000.00 at 4.03% compounded semi-annually, how much should…

A: Loans are paid by the periodic payments that carry the payment for interest and payment for…

Risk and return

Before understanding the concept of Risk and Return in Financial Management, understanding the two-concept Risk and return individually is necessary. 

Capital Asset Pricing Model

Capital asset pricing model, also known as CAPM, shows the relationship between the expected return of the investment and the market at risk. This concept is basically used particularly in the case of stocks or shares. It is also used across finance for pricing assets that have higher risk identity and for evaluating the expected returns for the assets given the risk of those assets and also the cost of capital.