Kimmy took a loan of RM30,000 from a bank. The loan was settled in 72 monthly payments. The bank charged interest at rate of 4.15% compounded monthly. a) What was the monthly payment that Kimmy had to pay for his loan? b) If Kimmy falled to pay 5 consecutive payments, how much should he pay on the next payment to settle the outstanding arrears?
Kimmy took a loan of RM30,000 from a bank. The loan was settled in 72 monthly payments. The bank charged interest at rate of 4.15% compounded monthly. a) What was the monthly payment that Kimmy had to pay for his loan? b) If Kimmy falled to pay 5 consecutive payments, how much should he pay on the next payment to settle the outstanding arrears?
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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Capital asset pricing model, also known as CAPM, shows the relationship between the expected return of the investment and the market at risk. This concept is basically used particularly in the case of stocks or shares. It is also used across finance for pricing assets that have higher risk identity and for evaluating the expected returns for the assets given the risk of those assets and also the cost of capital.
Question
2. Kimmy took a loan of RM30,000 from a bank. The loan was settled in 72 monthly
payments. The bank charged interest at rate of 4.15% compounded monthly.
a) What was the monthly payment that Kimmy had to pay for his loan?
b) If Kimmy falled to pay 5 consecutive payments, how much should he pay on the
next payment to settle the outstanding arrears?
![Formula list
(1+i)" – 1
S =R
i
1-(1+i)-n
A = R
i](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fcb34adb2-8432-4c3b-845a-ba1e13788ada%2Fa39be0ca-9c69-4e12-bc98-e2e5f9033a9c%2Fe2rk3vh_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Formula list
(1+i)" – 1
S =R
i
1-(1+i)-n
A = R
i
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