For the following loan, find (a) the finance charge and (b) the APR. Use the accompanying table to find the APR to the nearest 0.5%. Joel financed a $2350 computer with 24 monthly payments of $109.55 each. Click the icon to view the annual percentage rate table. (a) The finance charge is $ (Round to the nearest cent as needed.) (b) The annual percentage rate is%.
For the following loan, find (a) the finance charge and (b) the APR. Use the accompanying table to find the APR to the nearest 0.5%. Joel financed a $2350 computer with 24 monthly payments of $109.55 each. Click the icon to view the annual percentage rate table. (a) The finance charge is $ (Round to the nearest cent as needed.) (b) The annual percentage rate is%.
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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Transcribed Image Text:APR Table
Number of
Monthly
Payments (n)
6
12
18
24
30
36
48
60
4.0%
1.17
2.18
3.20
4.22
5.25
6.29
8.38
10.50
4.5%
5.0%
1.32
1.46
2.45
2.73
3.60
4.00
4.75 5.29
5.92
7.09
9.46
10.54
11.86 13.23
5.5%
1.61
3.00
4.41
5.83
6.59 7.29
7.90
8.71
11.63
14.61
Annual Percentage Rate (APR) for Monthly Payment Loans
6.0% 6.5% 7.0%
Annual Percentage Rate (APR)
7.5% 8.0% 8.5%
9.5%
9.0%
Finance Charge per $100 of Amount Financed (h)
2.64
2.49
2.20 2.35
2.79
4.11
4.39
4.66
4.94
6.04
6.45
6.86
7.28
8.00
8.55
9.09
9.64
10.66
9.98
11.35
11.98
12.81 13.64
16.06
20.23
1.90 2.05
1.76
3.28 3.56
3.83
4.82
5.22
5.63
6.37 6.91
7.45
7.94 8.61 9.30
10.34
11.16
13.83
14.94
17.40
18.81
9.52
12.73
16.00
17.18
21.66
18.31
23.10
10.0% 10.5% 11.0% 11.5% 12.0%
3.08 3.23 3.38
6.34
2.94
5.50
5.78 6.06
8.10 8.52
10.75 11.30
8.93
9.35
11.86 12.42
14.83
15.54
17.86 18.71
24.06
25.23
30.45
31.96
5.22
7.69
10.19
12.04
12.74 13.43 14.13
14.48
15.32
16.16
17.01
19.45 20.59
21.74
22.90
24.55 26.01 27.48
28.96
3.53
6.62
9.77
12.98
16.24
19.57
26.40
33.47
Transcribed Image Text:For the following loan, find (a) the finance charge and (b) the APR. Use the accompanying table to find the APR to the nearest 0.5%.
Joel financed a $2350 computer with 24 monthly payments of $109.55 each.
Click the icon to view the annual percentage rate table.
(a) The finance charge is $.
(Round to the nearest cent as needed.)
(b) The annual percentage rate is%.
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