**Down Payment and Loan Payments**Lucas wants to buy a used car that will cost $5,700. How much will his monthly payment be if he puts $2,600 down and finances the remainder at 4% for two years?His monthly payment will be $_______ (Round to the nearest cent.)

Annuity Payment: These payments are made in a series having equal intervals. Examples of annuity…

Answered: His monthly payment will be $ (Round to…

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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Tian can afford to put a down payment of $8,000 on a car. He can also afford to make monthly payments of $218.52 at the end of each month for the next five years. If Tian is quoted an annual interest rate of 4.49%, what is the highest price he can afford to pay for a car? Group of answer choices $19,724.14 $11,724.14 $14,118.14 $5,330.13
Desmond plans to purchase a new car. He qualifies for a loan at an annual interest rate of 5.2%, compounded monthly for 8 yr. He is willing to pay up to $300 per month. What is the largest loan he can afford? What is the correct formula for this situation? *** A. P OC. A= nt r n <-1 Desmond can afford a loan up to $ (Round to the nearest cent as needed.) OB. OD. A= r n nt -1 r n
give me answer in step by step
Your classmate tells you the details of the great deal he got on his mortgage: 30-year 1.1% fixed rate with a 20% down payment a.)If his new home costs $136,000, what is his down payment? b.)How much is he going to borrow to buy the house (assuming he only has the money to make the down payment from the previous part)? c.)Use Excel’s PMT function to determine how much his monthly payments would be. d.)How much will he pay in interest over the lifetime of this mortgage?
Tian can afford to put a down payment of $10,000 on a car. He can also afford to make monthly payments of $348.52 at the end of each month for the next five years. If Tian is quoted an annual interest rate of 3.49%, what is the highest price he can afford to pay for a car? O $29,162.86 O $19,162.86 O $27,563.75 O $10,761.96
Asher wants to buy a car that costs $29,660. He qualifies for a 4-year loan at a 2.8% annual interest rate, and he can afford a $500 monthly payment. What minimum down payment must Asher make to keep his monthly payment at or below $500? Round your answer to the nearest dollar. $6,980 $20,325 $22,680 $9,336
i need help
Dave wants to buy a $25,000 car by making a 10% down payment and financing the rest for five years. a.What is Dave’s monthly payment if the annual interest rate is 3%? b.In total, how much will Dave pay for the car?
Tim wants to buy a new boat for &9,500. If the store is going to charge Tim 8% annual interest on his purchase (assume an add-on loan) answer the following questions. (Worth 3 questions); a. Tim wants to pay the boat off in 3 years, how much will his monthly payment be? b. If Tim makes a down payment of $1,500, what will his new monthly payment be? c. If Tim wants his monthly payments to be $175, how much should his down payment be?
4. You wish to purchase a house that costs $294,000, and the bank requires you to have 12% of the purchase price as a down payment. Your annual salary is $44,000 and you can save 18% of this salary every year. How long will it take for you to save for the required down payment? about _____ years?
Max the mouse decides that he needs a new place to put his giant cheese refrigerator. So, Max purchases a lotfor $300,000. Max agrees to pay $25,000 dollars at the end of each year. If the interest rate is 4% compoundedannually, how many full payments must be made, and what will be the size of the concluding payment one yearafter the last full payment? TVM FORMULA
Holly Krech is planning for her retirement, so she is setting up a payout annuity with her bank. She wishes to receive a payout of $1,900 per month for twenty years. (a) How much money must she deposit if her money earns 7.8% interest compounded monthly? (Round your answer to the nearest cent.)___________ $ (b) Find the total amount that Holly will receive from her payout annuity. Thank you!

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His monthly payment will be $ (Round to the nearest cent.)