for the car buyers. Mr. Ahmed is a businessperson decided to buy the same car with ready c (OMR 23,000) since his income was not regular. Therefore, he borrov money from a moneylender at the simple interest rate of 3 % for two ye: How much he has to pay after two years to the moneylender.
for the car buyers. Mr. Ahmed is a businessperson decided to buy the same car with ready c (OMR 23,000) since his income was not regular. Therefore, he borrov money from a moneylender at the simple interest rate of 3 % for two ye: How much he has to pay after two years to the moneylender.
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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Question
parts4 Answer
Transcribed Image Text:1. RANGE ROVER Oman Moter is announced National day to its customers for a
limited period. The offer is available for both citizens and residents with fixed
monthly income. The offer is part of the company's sale promotion campaign in the
whole November month. The following were offered to you;
i)
RANGE ROVER 2021, cash price OMR 23000; down payment OMR 9000 and
the balance will be paid with 24 equal monthly payments of OMR 1800. If you
are interested to buy the car, how much you have to pay as deferred payment
for the car.
ii)
RANGE ROVER 2021, cash price OMR 28,000; down payment OMR 9,000
and the balance will be paid with 24 equal monthly payments of OMR 1100. If
you are interested to buy the car, how much you have to pay as deferred
payment for the car. .
iii)
Compare the finance charges of the above two options and suggest the best one
for the car buyers.
iv)
Mr. Ahmed is a businessperson decided to buy the same car with ready cash
(OMR 23,000) since his income was not regular. Therefore, he borrowed
money from a moneylender at the simple interest rate of 3 % for two years.
How much he has to pay after two years to the moneylender.
2. Al Qatryah Insurance Company SAOG in Oman has offered a wide selection of Life
& General Insurance Products to satisfy its customers. The company provided the
following information about a policy. It shows that the premium payment depends on
many variables such as age, gender, face value of policy and frequency of premium
payment.
Straight-Life
Male
10-Year Fixed Rate
20-Year Fixed Rate
Male
Female
Male
Female
Female
Age
20
1.76
1.5
1.21
1.17
1.82
2.72
2.63
30
1.27
1.23
1.91
3.49
3.38
40
1.46
1.41
2.20
2.13
4.02
3.88
2.33
4.56
50
2.41
3.63
3.51
5.18
5.01
60
4.72
7.11
6.88
8.21
7.93
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