Lino borrows ₱600,000 with interest at 14% compounded quarterly. He agrees to settle this obligation by a sequence of equal quarterly installments with the first one due at the end of 4 ½ years and the last at the end of 9 years. Find the installment payment.

Q: Abdullah deposits OMR 23550 at the end of every year for 4 years and the deposit earns a compound…

A: Individuals save for the future using various financial instruments that provide returns as per…

Q: Vusa has invested $420000 in an annuity that pays interest at the rate of 3.6% per annum,…

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

Q: A person contracts two obligations of $ 10,000.00 and $ 15,000.00 that will be paid, the first…

A: The company's aim will be to increase the profits of the company. The profits will be arrived at by…

Q: Andrew Codilla has a present obligation of $10,500 that is to be paidinequal uniform amounts, each…

A: The present value of an annuity refers to the present value of all the future payments of a series…

Q: Sam agrees to pay an amount of 2X at the end of 5 years and an amount of X at the end of 7 years. In…

A: The question is based on the concept of future value and present value of fund received at different…

Q: Mr. Sabalbaro borrows P600, 000 at 12% compounded annually, agreeing to repay the loan in 15 equal…

A: Annuity: It is the payment plan where one can get a regular amount of money after making the lump…

Q: John takes out a 5 year loan for $10000 at 8% interest compounded monthly. Calculate his monthly…

A: The annuity is an amount that is paid back to the loan amount which consists of interest payments…

Q: A mother borrowed P200.000 with 2% interest monthly and promised to pay the amount in 30 equal…

A: EMI or Equated monthly installment is an arrangement entered between the lending institution and the…

Q: Mr. Cee wishes to borrow $12,000 for three years. A group of individuals agrees to lend him this…

A: Amount borrowed (P) = $12000 Final amount to be paid (F) = $18000 n = 3 years Let r = Annual…

Q: A man paid 10% down payment of P200,000 for a house and lot and agreed to pay the balance on monthly…

A: Given: Particulars Amount Down payment            200,000 Down payment rate 10% Monthly…

Q: Paris has a mortgage of $820,000 through the RBC for a vacation property. The mortgage is repaid by…

A: When the lender lends a loan to the borrower, he charges a rate of interest on the borrowed amount.…

Q: A person owes $ 1,000.00 due in 1 year at 14% interest. You want to settle this obligation through…

A: GIVEN, FV = $1000 R=14% N = 3 AND 9 YEAR LET AMOUNT = A

Q: randon Rockwell owes P200,000.00 with interest at 5% payable semi-annually. What equal payments at…

A: Solution Given Amount due 200000 Interest rate 5% Compounding Semi annual…

Q: Joyce pays P 2,000 every two months to settle his obligations for two years at 8% compounded…

A: Bimonthly payment (B) = P 2000 r = 8% compounded bimonthly = 8%/6 bimonthly = 1.3333% n = 2 years =…

Q: Nihal is borrowing Rs. 50,000 to buy ABC assets. If he pays equal installments for 25…

A: An asset can be purchased by outright cash payments or in installments. The installment amount…

Q: A businessman borrowed P220,000 with interest at the rate of 4.2% compounded semi-annually. He…

A: The future value of money is the amount of money that will be worth at some point in the future if…

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

A: Annuity referes to a series of regular payments being made over a period. If the payments are made…

Q: A businessman borrowed P320,000 with interest at the rate of 4.9% compounded semi-annually. He…

A:

Q: 3. Ryan borrows 2,000 at an annual effective interest rate of 5% and agrees to repay it with 40…

A: A loan is an agreement where an amount is forwarded to one party in return for periodic payments…

Q: A woman borrowed P3, 000, 000 to be paid after 1.5 years with interest at 12% compounded…

A: Solution:- When an amount is invested somewhere, it earns interest on it. The amount initially…

Q: Joella invested RM5,000 in an interest-bearing promissory note earning an 8% annual rate of interest…

A: Following is the answer to the question

Q: How much of the original principal is still unpaid after he has made the 8th payment?

A: Get the annuity first using P = 600000,i =12%= 0.12 , n = 15 P= A*(1-(1+i)^-n)/i…

Q: How much in each of the quarterly installments if rate of interest 10% compounded bi-monthly?

A: A stream of equal cash flows paid or received periodically is termed as annuity. Annuity is either…

Q: Jaspreet orignally agreed to make two payments: one of $3,600 due in fourteen months and another…

A: The concept of the time value of money states that the current worth of money is more than its value…

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 1200 at the end of every year for 20 years and the deposit earns a compound…

A: Future value = Yearly deposit * future value annuity factor @5.33% for 20 years

Q: A woman paid 20% down payment of P300,000 for a house and lot and agreed to pay the balance on…

A: given, price = p300,000 downpayment = 20% r=15% m=12 (monthly compounding) pmt = p 33,396.51

Q: a certain loan was arranged such that Dino will pay ₱5,500 every month for the first 7 months; no…

A: Present value, usually referred to as discounted value, seems to be a financial computation that…

Q: -Nan Chen borrowed 90,000, agreeing to repay this sum in 20 equal end-of-year installments at 17…

A: Please refer to the image below.

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: Raquel will settle her debt my making quarterly payments of P5,800 for 3 years and 6 months but the…

A: Quarterly payment = P 5800 Period = 3.50 Years Number of quarterly payments = 3.5*4 = 14 Annual…

Q: Jim borrows $900 at 10% per annum compounded quarterly for 7 years. Determine the interest due on…

A: In the given question we need to calculate the interest due on the loan of $900 but for that we…

Q: Marshall recently obtained a 5-year, $50,000 loan. The loan carries 10 percent compound annual…

A: The payments discussed here are a form of annuity wherein an equal payment is made each period.

Q: At the end of every 3 months, Sam deposits $150 into an account that pays 6% compounded quarterly.…

A: Investors invest in particular securities with an expectation of receiving some gains in future. The…

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: Hassan borrows  AED 4,000,000 to be repaid over 15 years at 7 percent. What is the repayment of…

A: There are several functions in Microsoft Excel that can be used to perform time value of money…

Q: Iskandar has to pay RM19 000 in total to settle a three-year loan by making equal monthly payments…

A: Given information,Amount: NPER:  years Payment frequency: MonthlyRate: Compounding frequency:…

Q: a businessman borrowed 260000 pesos with interest at the rate of 5.5% compounded semi-annually. he…

A: The question is based on the concept of Financial Management.

Q: Pedro bought a new car today from Barboncito Motors. The former proposed to pay the latter the…

A: Concept. FV = A [(1+r)n - 1 ]r where , FV = future value of annuity A= amount deposited r= interest…

Amortized Loans

The term "amortization" refers to spreading the value of a loan or a debt over a series of regular payments or installments comprising of both the principal and interest amount. It generally involves the process where in the value of a loan or an intangible asset is written down over its maturity period.