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- (Pls answer all ) QUESTION 1 A man buys a house for $360,000. He makes a $150,000 down payment and amortizes the rest of the purchase price with monthly payments over the next 15 years. The interest rate on the debt is 4%, compounded monthly. Match the question with the correct answer, there are more answers than questions. What is the size the of loan? What is the size of each payment? What was the total of these payments? What is the total amount paid in for the house? What is the total interest paid over the life of the loan? A. $ 279,601.20 B. $ 153,602.04 C. $ 429,602.04 D. $1,553.34 E. $ 69,602.04 F. $360,000 G. $ 210,000 H. $ 3,602.04 1. $ 853.34Andre Castello owns a savings account that is paying 2.5% interest compounded annually His current balance is $7.598.42. How much interest will he earn over 5 years if the rate remains constant? Select one: a. $998.49 b. $8596.91 c. $949.80 d. $882.52ASAP
- 1) Ms. Smith borrowed P125,000 at 11% stated rate of interest and was to pay back the loan in 24 monthly payments. What is her effective rate of interest? A. 10.56% C. 21.12%B. 18.96% D. 22.00% 2) Kenneth's Arrows and Bows borrow P10,000 for one year at 12% interest. What is the effective rate of interest if the loan is discounted?A. < 12.5% C. > 13.5% but < 14.5%B. > 12.5% but < 13.5% D. > 14.5% 3) Koopman's Chickens, Inc. plans to borrow P300,000 from its bank for one year. The rate of interest is 10%, but a compensating balance of 15% is required. What is the effective rate of interest?A. < 11.4% C. > 11.6 % but < 11.8 %B. > 11.4% but < 11.6% D. > 11.8 %8. Give your answers to this question correct to two decimal places.a. Andrew wants to buy a house at 2.33% interest compounded monthly for 15 years. Andrew can afford a $2100 monthly payment. How much was Andrew’s mortgage loan he took out?b. How much is left on Andrew’s loan, that he still owes, after 7 years of making payments?Lance borrowed an amount of money from a lender. He agrees to pay the principal plus interest by paying P39,973.76 each year for 3 years. How much money did Lance borrow if the interest is 8% compounded quarterly? a. P90,000 b. P100,000 c. P120,000 d. P130,000
- A man plans to take a vacation in 4 years. He wants to buy a certificate of deposit for $1200 that he will cash in for the trip. What is the minimum annual interest rate he must obtain on the certificate if he needs at least $1700 for the trip? Assume that the interest on the loan is computed using simple interest The rate he must obtain is ___%III. Assume compound interest is used to solve the following problems. 1. Stanley borrowed $4500.00 from his credit union to do some home renovations. The loan has an annual interest rate of 5.75% and an amortization period of 3 years. a. What is Stanley's monthly payment? b. Calculate the total amount he will pay over 3 years. G Calculate the finance charge on the loan. 2. Adele wants to buy a used car that costs $2900.00. She has $1100.00 saved up for a down payment. a. How much will Adele have to borrow to buy the car? b. She can get a loan at 6.50% per annum with an amortization period of 2 years. What will be her monthly payment? c. What will be the total she pays for the loan? d. How much will the car cost? 3. Calculate the monthly payment, the total amount paid, and the finance charge for the following loans: a $2000.00 at 8.00% per annum for 3 years; b. $10 000.00 at 6.25% per annum for 5 years; and c. $1500.00 at 3.75% per annum for 2 years. 4. Harley used her credit card to…You now ask the banker why the Da t explains that borrowing money is not free because mon n annual percentage rate. re-activity Frections: Write your answers on a (Bond paper or Yellow Pad) using black ballpen only. AJ Santos is a small business owner that wanted to purchase a new piece of equipment to be used in operations. The new equipment would cost him Php. 150,000, an amount which would require him to obtain external financing from a bank payable in five years. Upon applying for a loan, he notices that the bank is charging an interest of 10%. He now wonders why the bank is charging interest. Page egard to to you. the rate is as harged as a cost of to the costs of the bank with ther of to the Is being
- Mr. Isidro borrowed P1,150,000.00 for the purchase of his car. If his monthly payment is P25,000.00 on a 5-year mortgage, what is the total amount of interest? a. 350 000 b. 360 000 c. 370 000 d. 380 000John borrowed P15,000 for 2 years and 6 months, with simple interest at 9%. How much does he owe at the end of the time? A P18, 375 B P15, 375 OP3,375 D P18,000You just borrowed $490,000 for a mortgage on your new home. The mortgage has a 30-year term with monthly payments and an APR of 6.96%. a. How much will you pay in interest, and how much will you pay in principal, during the first year? Question content area bottom Part 1 a. How much will you pay in interest, and how much will you pay in principal, during the first year? Principal: $enter your response here. (Round to the nearest dollar.) Interest: $enter your response here. (Round to the nearest dollar.)