Lush Gardens Co. bought a new truck for $56,000. It paid $6,160 of this amount as a down payment and financed the balance at 4.47% compounded semi-annually. If the company makes payments of $1,800 at the end of every month, how long will it take to settle the loan? Express the answer in years and months, rounded to the next payment period You plan to save money for a down payment of $32,000 to purchase an apartment. You can only afford to save $6,000 at the end of every 6 months into an account that

Lush Gardens Co. bought a new truck for $56,000. It paid $6,160 of this amount as a down payment and financed the balance at 4.47% compounded semi-annually. If the company makes payments of $1,800 at the end of every month, how long will it take to settle the loan? Express the answer in years and months, rounded to the next payment period You plan to save money for a down payment of $32,000 to purchase an apartment. You can only afford to save $6,000 at the end of every 6 months into an account that

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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Similar questions

An firm borrowed $159,000 to remodel their office. The load was to be paid back in equal monthly payments over 30 years at 5% interest, compounded monthly. After 7 years, the firm wants to pay off the loan. What is the remaining balance that must be paid off? Express your answer in $ to the nearest $1,000.
EnergyMax Engineering constructed a small office building for their firm 5 years ago. They financed it with a bank loan for $450,000 over 15 years at 6% interest with quarterly payments and compound ing. The loan can be repaid at any time without penalty. The loan can be refinanced through an insur ance firm for 4% over 20 years—still with quarterly compounding and payments. The new loan has a 5% loan initiation fee, which will be added to the new loan. (a) What is the balance due on the original mort gage (20 payments have been made in the last 5 years)? (b) How much will Energy Max's payments drop with the new loan? (c) How much longer will the proposed loan run? ?plz do fast
You purchased a second-hand car worth ₱ 420,000 if paid in cash. You were able to negotiate with a financing agency to allow you to pay only with a down payment amounting to 20% of the cash price and the balance payable in equal monthly payments for four years at 1.5% per month. Immediately after your 20th installment, you decided to pay the remainder of the loan in a lump sum. How much is this payment?
Your company bought equipment for $25,000 by paying 10% down and the rest on credit. The credit arrangement is for 5 years at 7% interest. After making 20 payments, you want to pay off the loan. How much do you owe?
Your firm has taken out a $527,000 loan with 8.5% APR (compounded monthly) for some commercial property. As is common in commercial real estate, the loan is a 5-year loan based on a 15-year amortization. This means that your loan payments will be calculated as if you will take 15 years to pay off the loan, but you actually must do so in 5 years. To do this, you will make 59 equal payments based on the 15-year amortization schedule and then make a final 60th payment to pay the remaining balance. (Note: Be careful not to round any intermediate steps less than six decimal places.) a. What will your monthly payments be? b. What will your final payment be? a. What will your monthly payments be? The monthly payments will be $ (Round to the nearest cent.) (...)
Hazelnut just bought a new cracker. To pay for the cracker, the company took out a loan that requires Hazelnut to pay the bank a special payment of $8,162.00 in 5 months and also pay the bank regular payments. The first regular payment is expected to be $1,225.00 in 1 month and all subsequent regular payments are expected to increase by 0.20 percent per month forever. The interest rate on the loan is 0.73 percent per month. What was the price of the cracker? O $231,132.08 (plus or minus 3 dollars) O $239,002.58 (plus or minus 3 dollars) O $175,678.72 (plus or minus 3 dollars) O $1,540,000.00 (plus or minus 3 dollars) O none of the answers are within 3 dollars of the correct answer
ndard deviation of the following annual returns:
XYZ Construction Inc. wants to purchase a new pick-up truck. The price for the new truck is $43, 688. The dealer allows XYZ to trade - in the old truck for $5,224. XYZ can payback the remaining balance through a 4-year payment plan. Given the agreed interest rate is 3%: How much is the monthly payment?
An open loan of $17,000 was taken out today where payments (deposits) and withdrawals can be made freely with a loan rate of 2.8% compounded semi-annually. To reduce the balance of the loan, $1030 was paid 12 months from today, and $5730 was paid 16 months from today. What is the final outstanding balance of the loan 24 months from today (8 months after the last payment)? State your final answer in dollars ($) with two decimals.
You need to borrow $750,000 to purchase a new house. JRE bank will loan you the money at an APR of 4.3% (monthly compounding) and a 15 year term (i.e. 180 monthly payments in total). After making exactly 27 payments, what is the total amount of interest you will have paid (rounded to the nearest dollar)? The total amount of interest is closest to: A. $63,309 OB. $84,140 c. $68,709 OD. $70,734 ...
Valles Galactic Industries is Equipment is financing some equipment purchases. They anticipate a life of 10 years with monthly payments. The arrangement with the vendor worked out is as below. The interest rate is % % per month for the first 48 payments and for the remainder of the loan the interest rate would be 1 % per month. The equipment cost $500,000. What is the monthly payment for the first 48 months?
Lush Gardens Co. bought a new truck for $52,000. It paid $4,680 of this amount as a down payment and financed the balance at 3.98% compounded semi-annually. If the company makes payments of $2,000 at the end of every month, how long will it take to settle the loan? years months Express the answer in years and months, rounded to the next payment period

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