John borrowed P15,000 for 2 years and 6 months, with simple interest at 9%. How much does he owe at the end of the time? A P18, 375 B P15, 375 © P3,375 D P18,000

Q: Mr. Padilla agrees to pay P1,300.00 at the end of each month for 20 years, in purchasing a house.…

A: The PV of an asset refers to the value of all its future cash flows discounted at an assumed rate of…

Q: Abdullah deposits OMR 28604 at the end of every year for 4 years and the deposit earns a compound…

A: To open the "FV function" window - MS-Excel --> Formulas --> Financials --> FV.

Q: Marek is collecting simple interest on a $1,000 CD with an annual rate of 2.40%. What was his…

A: Principal = $ 1000 Annual interest rate = 2.40%

Q: al 7 TRY: Lili borrowed P68000 with interest 72% at the end 12 years. What amount should be paid for…

A: FV  = A × (1+r)n Where, Fv = future value A = Amount borrowed  r = interest rate n = time period.…

Q: Jack borrowed $4239 at 7.8% to buy a used car. He paid the maturity value of $5460. Find the time c…

A: Compound Interest: A= P(1+R/100)n Where, A= Amount on maturity P= Principal Amount R= Rate of…

Q: Ken received $25000 form an annuity he purchased eight years ago.  He purchased the annuity, to be…

A: Form 1040 is used by an individual taxpayer, to file their taxes with the IRS.

Q: 1. anim bought a flat for RM56,000, and get financing for 90% of the value, at 3.55% p.a., and the…

A: In excel. Flat Price 56,000.00         Loan to Value ratio 90%         Loan AMount 50,400.00…

Q: Derek can deposit $266.00 per month for the next 10 years into an account at Bank A. The first…

A: ParticularsBank ABank BPeriodic Deposit,PMT $              266.00 $ 2,465.00Tenure,years1010Interest…

Q: how much does he need to pay quarterly?

A: A stream of equal cash flows (CF) paid or received periodically is termed as annuity. Annuity due…

Q: A debtor borrows P7,900 and agrees to pay P9,359 for his debt 3 years & 4 months from now. At what…

A: Given, Future value = FV = P9,359 Present value = PV = P7,900 Number of months = t = 3years 4 months…

Q: Joshua borrowed P250,000.00 with interest at the rate of 5% compounded semi-annually. He agrees to…

A: Interest rate = 5% (Assumed for every 6 month) Loan amount = P250,000   Calculation of loan amount…

Q: Billy Bourne makes $58972 annually. How much does Billy pay for his E.l. premium out of each…

A: To determine how much Billy pays for his E.l. premium out of each pay cheque, we need to know the…

Q: An investor buys a property for $683,000 with a 25-year mortgage and monthly payments at 7.3% APR.…

A: Here we will first calculate the monthly payment for the loan taken Laon is $ 683000, Tenure is 25…

Q: Taylor deposited $600 at the end of every three months into an investment for the past 5 years. The…

A: Future Value: The future value is the amount that will be received at the end of a certain period.…

Q: Graham buys a piece of lot for P 200,000 down payment and 10 deferred semi- annual payment of P…

A: Down payment = P 200,000 Semi annual payment = P 8000 First payment period = 3 Years Number of…

Q: lack borrows $7,000.00 at an interest rate of 12% compounded monthly to be paid off monthly payment…

A: Dear student we need to use NPER function in excel to solve this problem.

Q: Charlie Chaplin borrowed P100,000.00 on October 31 2019 from Mr. Beans and the loan has an interest…

A: Borrowing is defined as an action by which one individual temporarily borrows money from another…

Q: (Loan amortization) On December​ 31, Beth Klemkosky bought a yacht for ​$70, 000. She paid ​$14, 000…

A: An amortized loan is a classic case of the PV of an ordinary annuity.The loan taken today [ PV] and…

Q: Mr. and Mrs. Smith have taken out a mortgage loan of $250,000.00 from a bank at 6% APR for a fixed…

A: The mortgage loans are secured loans and they are the main source of finance in the real estate and…

Q: Amit borrowed $2000 at a simple interest rate of 5.5% per annum. At the end of the term, he owed…

A: Step 1 Simple Interest When someone lends money to a borrower, the borrower typically has to pay the…

Q: George contributes $500.00 at the béginhlhg interest at 6.00% compounded semi-annually. What will be…

A: Given, interest 6% semiannual PMT 500 (beginning)years 16 years    We need to find the EAR  that…

Q: An annuity-immediate Jeremy purchases the annuity for $15,000. Calculate the nominal interest rate…

A: First we need to use RATE function in excel to calculate interest rate convertable quartely on…

Q: Peter just borrowed a $50,000 business loan from the  bank at 5% annual interest. He must repay the…

A: Given, Loan borrowed is $50,000 Interest rate is 5% Term of loan is 5 years.

Q: P15,000 P20,000

A: In simple interest there is no interest on interest and there is no compounding of interest and this…

Q: Hudson agreed to borrow R4 954, 85 at 9% compound interest per month when he signed the loan papers…

A: Loan amortization is the systematic repayment of loan amount spread over tenure of loan period.…

Q: Anna receives $1,000 on the first of each month. Josh receives $1,000 on the last day of each month.…

A: Present value of the annuity is the present value of streams of periodic cash flows that occur at…

Q: A man borrowed K6,000 a 7% and agrees to pay back by making equal payments at end of every month for…

A: Amortization schedule: A table that details the regular payments for an amortizing debt is called an…

Q: Abdullah deposits OMR 26417 at the end of every year for 4 years and the deposit earns a compound…

A: An annuity is the fixed payment that an investor receives from an investment or fixed deposits made…

Q: You lend a friend ​$13,000​, for which your friend will repay you ​$49,591 at the end of 6 years.…

A: Interest rate = (Future value / Present value)^(1/Time) - 1 where, Future value = $49,591 Present…

Q: G borrows P47,400 with interest at 18% compounded quarterly. How much should he pay to the creditor…

A: Use the Excel FV function with the following inputs to determine the value of investment. RATE =…

Q: Jake is paying P2.500 every 3 months for the amount he borrowed at an interest rate of 8% compounded…

A: Quarterly payment (Q) = P 2500 r = 8% per annum = 2% quarterly n = 2 years 6 months = 10 quarters

Q: Coco borrowed P100,000 and wishes to repay Kobe at the end of each month with payments of P3,000 for…

A: We need to find the extra payment required to settle one month after the last regular level payment…

Q: Cristina borrowed P50,000.00 from Social Security System in the form of calamity loan, with interest…

A: When a loan is taken by a person then the institution or the entity that gives the loan amortizes…

Q: diego took out 3 year loan for 9,000 that has a 14.3 % simple interest     c) How much total…

A: We have to find the total interest that accumulates on a loan.

Q: An investor buys a property for $665,000 with a 25-year mortgage and monthly payments at 8.5% APR.…

A: Mortgage Loans: A legitimate consent to acquire cash from a bank or other monetary association,…

Q: Kate owes P120 000 due in 4 years plus the accumulated interest from today at 13% compounded…

A: Loan amount today (L) = P 120000 Loan amount is due in 4 years. r = 13% per annum = 3.25% per…

Q: Daiki Aomine owes a debt to a lending company of P50,000.00 due in 2 year and another P55,000.00 in…

A:

Q: Q2.7: Morgan purchased a house for $400,000. He made a downpayment of 15% of the value of the house…

A: a) Computation of size of the monthly payments is as follows:Amount of loan=Purchase price of…

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.