Find the final monthly payment required to pay off a loan with $1600 remaining principal and a 12% annual interest rate. A. $1,600.00 C. $1,584.00 B. $1,616.00 D. $1,612.00

Q: do you have the answer in a different format using equations

A: The present value is the present worth of the amount that will be paid or received in the future.

Q: What is feasible set?

A: When investors manage their ‘financial assets’, like ‘bonds’, ‘shares’ and other financial…

Q: Maude Pasy $5000 a year into an annuity contract for 25 years. Maude is paying what?

A: Annuity contract is a contract which involves fixed amount of payment for a fixed period or for the…

Q: What is a limit order?

A: Limit order It is such an order to buy or trade a security at or superior to a predefined cost. The…

Q: Is DDM and CAPM suppose to be the same numbe

A: There are many ways to do valuation of stock one is DDM and other is CAPM these are two important…

Q: Formula for put call parity?

A: Put call parity Put-Call parity defines the value of same class European put and call options. Put…

Q: What is a constraint?

A: Internal Control:   It refers to a set of rules, policies adopted by a business to ensure accuracy…

Q: purpose of FA

A: FASB stands for Financial Accounting Standards Board. It is a non-profit organization that follows…

Q: What is materiality? Explain?

A: Materiality: The accounting concept which focusses that all the financial items and figures which…

Q: What is the actual formula used to get this answer?

A: Present value of annuity Annuity is a series of equal payments at equal interval over a specified…

Q: ansawer

A: Where a partnership itself is generally not subject to income tax, individual partners (including…

Q: What is scalability?

A:

Q: What is multiple IRRs?

A: Multiple IRRs IRR is a discounting rate at which an amount of investment equals PV of the future CF.…

Q: What is the dual aspect term

A: solution concept Dual aspect                 Each and every transaction shall be recorded by giving…

Q: What is GAAP and how does it work

A: The accounting is based on various principles that are defined by GAAP or IFRS.

Q: What is alpha transfer?

A: The term ‘Alpha’ refers to the active return on investment. In other words, the excess return from…

Q: es RTN hold any importan

A: In online transactions are done based on codes and codes are given for the name of bank and area of…

Q: What is the DCF method?

A: DCF is a complex tool for valuation which approximates the value of any investment depending upon…

Q: What is the Baumol model, and how is it used?

A: The Baumol model, also known as the Baumol-Allais-Tobin (BAT) model, is a cash management model. In…

Q: what is z table? and how do i figure that part out?

A: Z table is a statistics related table which also finds ample use and application in the world of…

Q: What is Hamada equation?

A: The Hamada Equation : The Hamada equation is a method used to analyse the cost of capital of firm.…

Q: What is forward points?

A: Forward points are nothing but basis points added or subtracted from the spot rate of an underlying…

Cost of Credit

The cost of credit is an extra amount that the borrower has to pay besides the loan amount. These credit charges may vary from loan to loan. The cost of credit includes interest charges, maintenance charges, and arrangement charges. Some of the costs are mandatorily collected by the lender based on the loan amount and tenure of the loan. The cost of credit is also called finance charges of the credit.