how long will it takehim to repay the loan

Q: d. Your savings account is going up and up exponentially (ish) be three different…

A: As per you instruction only D and E will be solved.To recap, you have a savings goal of $20,317 at…

Q: Suppose a man took out a 30-year loan with an annual rate of 6% to put an addition on his house. His…

A: Loan year=30 years Interest=6% Computer cost =$ 1,500 Here,we need to find amount of interest paid…

Q: Lance Lopes went to his bank to find out how long it will take for $1,000 to amount to $1,700 at 12%…

A: Principal Amount = p = $1000 Future value = fv = $1700 Interest rate = r = 12%

Q: Tom borrowed 300,000 for his son Remy's law school tuition at the University of Missisippi. Tom…

A: We need to use Simple interest formula to calculate maturity value of loan. A =P(1+r*t) where A=…

Q: 5. When Jose just moved into the town and wanted to set up an internet connection using AT&T, he was…

A: The value of money does not remain constant throughout time since it varies with time, and so this…

Q: Sarah graduated from college with $29000 in student loan debt. The annual rate on her loans is 6…

A: Calculate the total interest paid over 5 years:Total interest paid over 5 years = Principal *…

Q: For Problems 17-24, assume you get a 30-year $90,000 mortgage loan at 7.25% interest. 17. Calculate…

A: Note: : We’ll answer the first question since the exact one wasn’t specified. Please submit a new…

Q: I would like to understand the process of this equation and how it end up to be 5%: "If​ $22,050 is…

A: Interest rate is the rate of interest earned/paid on an investment/loan. The interest will be paid…

Q: You have agreed to loan some money to a friend at a simple interest rate of 125% per year. Your…

A: The principal loan amount equivalent to the repayment of $500 in 4 weeks is calculated using the…

Q: how long will it take hime to repay the loan?

A: An Annuity is a series of payments of fixed amounts and at fixed intervals. These can be of two…

Q: CHALLENGE: James obtained a loan of P 50 000.00 for the tuition fee of his son, He has to repay the…

A: “Hey, since there are multiple questions posted, we will answer first question. If you want any…

Q: Solve the following problems by showing your formula and computation: 1. what is the simple…

A: “Hey, since there are multiple questions posted, we will answer first question. If you want any…

Q: A student has an internship in their senior year whereby they were able to save some money (call…

A: "Here, various saving amount is given in the question. We are taking the Saving Amount of Group-1…

Q: 3) Isaac invested $77.000 in an account paying an interest rate of 4.6% compounded quarterly.…

A: Q3.The initial investment (PV) is $77,000.The interest rate (r) is 4.6% compounding quarterly.The…

Q: A man needed money for college. He borrowed 6,000 at 16% simple interest per year if he paid 480…

A: Interests are of two main kinds – simple interest and compound interest. In case of simple interest…

Q: ou just purchased a $30,000 car by taking out a $25,000 loan. If the loan requires 6 yearly payments…

A: Present value of annuity. PV = A × Where,PV = Present value of annuity A = periodic payments r =…

Q: 9. Aisha is looking for a $20,000 loan to buy a car. One financial institution has agreed to give…

A: Loan is a sum of amount borrowed from a lender. It is expected that the loan will be repaid at a…

Q: A man needed money for college. He borrowed $6,000 at 12% simple interest per year. If he paid $360…

A: When the borrower borrows a loan from the lender, he has to pay a rate of interest on the borrowed…

Q: You have really gone above and beyond in spending on your fraternity initiation party and ran up…

A: Given information: Payment amount is $30 per month Annual interest rate is 20% Amount spent for…

Q: Then Maria Acosta bought a car 2 years ago, she borrowed $17,000 for 48 months at 7.2% compounded…

A: Step 1 Present Value The total of future investment returns discounted at a given level of expected…

Q: Let's assume you finance your house through Wells-Fargo Bank. Below, please find the…

A: The objective of this question is to calculate the finance charge, which is the total amount of…

Q: 7.) If your parents invested $100 a month for 18 years and got a return of 7% compounded monthly: a)…

A: Monthly investment = $100 Period = 18 years Interest rate = 7% compounded monthly

Q: You have $2,500 on a credit card that charges a 20% interest rate. If you want to pay off the credit…

A: The PMT tool is especially important for constructing loan amortization schedules, budgeting, and…

Q: I need help with understanding the calculatin breakdown for the problem below -  Pete needs $8000…

A: Interest Payable for Loan A is :-               Payback Value  Less  Loan Amount…

Q: A few years down the road you move out, buying your own home. You decide to take another look at…

A: The finance charge represents the total interest amount to be paid over the loan term. When a loan…

Q: Bill took out a 6 year loan to buy a car. If the loan carried an annual interest rate of 6.5% and he…

A: The amount of interest paid is calculated as difference of total payments less present value of…

Q: If you borrow $3,600 to buy a car at 15% per year compounded monthly, to be repaid over the next…

A: Monthly Payment = P x r / [1 - {1 / (1 + r)^n}] Here, P = Present Value or Loan Amount i.e. $3600 r…

Q: Your small startup wants to take out a loan for 5 years for a piece of equipment. The bank offers 6%…

A: Payment per period refers to the time which is used for calculating the wages that are earned and…

Q: Mark just took out a loan from the bank for $3,700.00. He plans to repay this loan by making a…

A: Loan installment is that which is paid by borrower to lender for a specified period of time. This…

Q: Hugo loaned P200,000 from a local bank to be paid back uniformly in five years. How much will he pay…

A: The given problem can be solved using PMT function in excel. PMT function computes installment…

Q: What is the total payback amount of the loan? What is the amount of each payment? /month What is the…

A: Time value of money (TVM) refers to the method used to measure the amount of money at different…

Q: Melanie bought a used car for $10,000. (S) he put $100 down and financed the balance with the dealer…

A: The add-on interest is a method of calculation of interest where the interest is added first and the…

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.