Jessica borrowed $3000 from a lender that charged simple interest at an annual rate of 8%. When Jessica paid off the loan, she paid $960 in interest. How long was the loan for, in years? If necessary, refer to the list of financial formulas. 0 years X

Q: Joshua borrowed $1,400 for one year and paid $70 in interest. The bank charged him a service charge…

A: Principal Amount = p = $1400Interest = i = $70Service Charges = sc = $12Number of Payment = n = 12

Q: Joshua borrowed $500 for one year and paid $50 in interest. The bank charged him a service charge of…

A: Annual Percentage Rate (APR)= (2 * N * FC) / [ (P * (N+1)]

Q: Jesse borrowed from a bank at 5.92% compounded semi-annually; he settled the loan by repaying $3,055…

A: Interest rate is 5.92% compounded semi-annually Amount repaid is $3,055 every 6 month Time period is…

Q: Phyllis borrowed $1,000 at 2% APR for six months. Use the simple interest formula to calculate the…

A: Calculation of total amount of interest. Year Principle outstanding at opening (A) Interest…

Q: Gabrielle held a loan of $1,900 for 6 months and was charged interest of $106.40. What was the…

A: Two types of interest calculations are there: Simple Interest = As the name suggest it simply…

Q: Maria took out a loan for $7900 that charges an annual interest rate of 8.8% compounded quarterly.…

A: n=4 r=8.8/4/100=0.022 present value=7900

Q: Daniel paid $825 simple interest on a $1400 loan for five years . What was the interest rate?

A: Given: Simple Interest =$825Principal amount =$1400Time =5 years

Q: Leslie borrowed $25,000 at a rate of 6% compounded monthly (j12) for a term of 10 years. Calculate…

A: The loan is repaid in equal monthly instalments. Each instalment has interest and a portion of the…

Q: How long (in years) will it take for her investment to amount to $6,000?

A: Time value of money (TVM) means that the amount received in the present will have more value than…

Q: Repaying a Loan While Mary Corens was a student at the University of Tennessee, she borrowed…

A: A sum borrowed to meet any personal or business need is regarded as a loan. The loan is generally…

Q: Rosetta has a mortgage of $328,000 through her bank for property purchased. The loan is repaid by…

A: Amortization refers to the systematic and periodic repayment of interest and principal over a given…

Q: semiannual payments over the next 9 years.

A: Amortization is an accounting method that lowers the book value of the loan or intangible asset…

Q: Maya borrowed $700 from a lender that charged simple interest at an annual rate of  6%. When Maya…

A: A loan is a borrowing that an individual or entity takes into account. A lender is the other side in…

Q: paying $111 at the end of each month for 6 years. The bank charges interest on the loan at 7.71 %…

A: Monthly payment=$111Number of payment=72Interest rate=7.71%Monthly interest rate=0.6425

Q: Miracle has a mortgage of $257,000 through her bank for property purchased. The loan is repaid by…

A: The given problem can be solved using =IPMT(rate, per, nper, pv, [fv], [type]) function in excel…

Q: Rahma borrowed OMR 600 at the rate of 12% from Bank Dhofar for 6 years. Find the interest she will…

A: Given taht, Loan amount = OMR600 Rate of interest = 12% Number of year for which loan has taken =…

Q: CJ borrowed from a bank at 3.34% compounded semi-ann $1,049 at the end of every six months for 7…

A: The periodic payments are paid to pay the loan and these periodic payments carry the payment for…

Q: A couple borrows $935,000 for 7 years for the purchase of a vacation home at interest rate of 7…

A: The objective of the question is to calculate the annual payments on a loan and the reduction in the…

Q: on for 6 years and was charged om borrowed money from a simple interest at an annual rate of 8%. The…

A: Simple Interest can be calculated using the formula given below Simple Interest = (Principle x Rate…

Q: While Mary Corens was a student at the University of Tennessee, she borrowed $10,000 in student…

A: Tenure is the loan refers to the time period by which loan is repaid along with the applied interest…

Q: Anna has a mortgage of $427,000 through her bank for property purchased. The loan is repaid by end…

A: A mortgage refers to a covered loan that is used to purchase a property with the property itself…

Q: Jasmin has a mortgage of $296,000 through her bank for property purchased. The loan is repaid by end…

A: An interest charge is the cost of obtaining or extending credit. The cost of managing the loan, as…

Q: Alexandra took out a mortgage of $791,000 for a house and just made the 79th end of month payment.…

A: A mortgage is a borrowing taken such that regular payments are made to repay the loan. The…

Q: Tom Bond borrowed $6,200 at 6-% for three years compounded annually. What is the compound amount of…

A: Compound amount = Principal(1 + Rate/100)t Interest = Compound amount - Principal

Q: Lexi took out a loan from a loan shark with an interest rate of 5% bi-monthly, compounded…

A: Interest rate = 5% bi-monthly compounded semi-monthly Which means the interest rate is 5% every 2…

Q: Leona Jefferson purchased a home and obtained a 20-year loan of $436,750 at an annual interest rate…

A: A mortgage refers to a covered loan that is borrowed for the purchase of a property which itself…

Q: how much did Tiffany borrow?

A:

Q: Marcia Rodger borrowed $3,500 from Valley Bank at a rate of 9%. The date of the loan was October 10.…

A: In a case of borrowing, we need to find the interest using ordinary method and exact method. We then…

Q: final answer to 2 decimal places.)

A: for 8 years and 1/2 years= 8*2+1= 17 times. annual interest rate = 4.6%, so semiannual = 4.6/2=…

Q: What is the interest paid in the 2nd year of the mortgage?

A: Mortgage refers to a legal contract based upon which a financial institution such as bank grants a…

Q: You purchase a home and have a $200,000 mortgage for 20 years at 5%. Utilize an amortization…

A: Mortgage = $200,00Period = 20 yearsInterest rate = 5%

Q: Tom took out a $20,000 loan for 146 days and was charged simple interest. The total interest he paid…

A: The simple interest rate calculates interest based solely on the initial amount of a loan or…

Q: Michelle Payne deposited $4,000 in a savings account paying 6.25% simple interest. How long (in…

A: The future value is the future worth of the amount that will be paid or received in the future.

Q: Jeremy received an excellent interest rate for her loan of $9,500. Calculate the nominal interest…

A: Solution:When an amount is borrowed, it can either be repaid as a lump sum payment or in…

Q: A. Aisha borrowed R.O 80,000 to pay her child’s education at Muscat College. Aisha must repay the…

A: Loan: It is the amount of money borrowed from a person or bank or company for a certain period…

Q: Trashia has a mortgage of $474,000 through her bank for property purchased. The loan is repaid by…

A: Solution :  Loan Amount    = $ 474000         Loan Term = 23 Year   or 276 month       Interest…

Q: While Mary Corens was a student at the University of Tennessee, she borrowed $12,000 in student…

A: Tenure is the loan refers to the time period by which loan is repaid along with the applied interest…

Q: Kylie has a mortgage of $563,000 through her bank for property purchased. The loan is repaid by end…

A: Preparing loan amortized table

Q: Leona purchased a home and obtained a 25 year loan of 437,750$ at an annual interest rate of 6.5%.…

A: given, n = 25years r= 6.5% m = 12 p = 437,750

Q: Arianna borrowed $6700. Over the course of 4 years, Arianna ended up paying $1340 in interest. What…

A: Simple interest is that interest which is charged only on the principal. It is not the same as…

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.