magine you have a credit card balance of $1,000 that you would like to pay off within one year. The annual interest rate on that credit card is 16%, but interest compounds monthly, and you are required to make a payment each month. What amount would you have to pay monthly to pay off this balance within one year? Question options: a $90.71 b $80.66 c $83.33 d $99.12

Q: Suppose that you want to avoid paying interest and decide you'll only buy the furniture when you…

A: Monthly payment, M = $110 Annual interest rate, r = 4.7% Term of annuity, t = 2 years

Q: You have an outstanding student loan with required payments of $600 per month for the next four…

A: With number of compounding in a year (m) and Annual percentage rate (APR), the effective rate of…

Q: you borrow $2,700 at 8% simple interest per year for five years, how much will you have to repay at…

A: interest =p×r×t100where,r=rate of interestp=principal t=years

Q: You want to buy a $199,000 home. You plan to pay 10% as a down payment, and take out a 30 year loan…

A: Formula; Loan amount = Home value * (1 - Down payment)   Loan amount = $199,000 * (1 - 0.10) Loan…

Q: What is your monthly loan payment? What is your expected balance after five years (60 months)?

A: Purchase Price64900Down Payments10000Loan Amount54900No.of Payments84Monthly Rate0.0033Monthly…

Q: You are approved for a $200 000 mortgage to purchase a house. You are given two options, both with…

A: Two loans are identical except that one is paid bi-weekly (in every 2 weeks, hence 2 times in a…

Q: You plan to retire in 45 years and would like to be able to spend $4,000 a month (at the end of…

A: “Hi There, Thanks for posting the questions. As per our Q&A guidelines, must be answered only…

Q: A customer will borrow $12,000 to buy a car. Which loan option would allow the customer to pay the…

A: Simple Interest = Principal * Rate * Time

Q: You are thinking about purchasing an investment from Get-Rich-Quick Investmemnt company. If you buy…

A: Present value of annuity (PVA) formula: PVA=A×1-11+rmn×mrm A=annuity r=rate n=number of years…

Q: What rate of interest will you have to get per year if you would like to buy a car for $68,500 at…

A: Rate of interest is the percentage of return that is expected to be generated by investing in the…

Q: what is the price of sukuk for bahrain islamic bank (BisB) from 2017 to 2021

A: Introduction  Sukuk, or Islamic bonds, are an important source of financing for Islamic banks in…

Q: You bought a Tesla Model 3 for $30,451 and the auto loan is 60-month fixed rate loan with interest…

A: A loan refers to a contract between two parties where money is forwarded by one party to the other…

Q: You owe $24,000 on student loans at an interest rate of 5.45% compounded monthly. You want to pay…

A: Given loan amount is Interest Rate is Time period since number of payments is monthly total number…

Q: Suppose a bank offers you an 6 25% interest rate on a 30-year mortgage to be paid back with monthly…

A: Monthly payment (C) = $1700 Monthly interest rate (r) = 0.00520833333333333 (i.e. 0.0625 / 12)…

Q: You need to have OMR 15000 in five years to payoff a home loan. You can invest in an account that…

A: Given:

Q: A bank is offering to pay you $1000 at the beginning of each month for the next 10 years. The…

A: Payment per month (PMT) = $1,000Timing = BeginningAnnual interest rate is 6%. So, monthly interest…

Q: ou want to purchase a new house when you graduate. The house that you want costs $600,000. You will…

A: Annual Interest is the percentage at which interest is charged on a loan or earned on an investment…

Q: Suppose you have a student loan of $35,000 with an APR of 6% for 40 years. Complete parts (a)…

A: Loans are paid by equal monthly installments and these monthly installments carry the payment for…

Q: (a) You need to borrow £20,000 for a total of 10 years. You have two options. The first option is to…

A: In this problem, we will first calculate the effective rate on the full tenure of the loan using the…

Q: You are looking to buy a car and you have been offered a loan with an APR of 5.6%, compounded…

A: Hai there! Thank you for the question. Post has multiple questions. As per company guidelines expert…

Q: You have $3,500 on a credit card that charges a 21% interest rate. If you want to pay off the credit…

A: A credit card is a payment card that allows the cardholder to borrow funds from a financial…

Q: If you borrow $5000 at an APR of r (as a decimal) from a lending institution that compounds interest…

A: Interest rate is the proportion of amount loaned on which a lender charger as interest to the…

Q: You purchase a car priced at 750,000 Php. You paid 10% as the down payment and the remaining balance…

A: P= 675,000 (after down Payment) r= 0.4% (monthly) n= 10 yrs* 12months= 120 months Calculate interest…

Q: You have $2,500 on a credit card that charges a 15% interest rate. If you want to pay off the credit…

A: Step 1: Step 2: Step 3: Step 4:

Q: You have some extra cash this month and you are considering putting it toward your car loan. Your…

A: Interest rate= 7.10%Amount per Installment= $695No. of Installments = 3Additional amount paid =$1100

Q: Suppose that you want to avoid paying interest and decide you'll only buy the furniture when you…

A: Future value is the compounded value of all future cash flows after the specified period of time and…

Q: You have just signed up for a very strange loan - one that is amortized on a WEEKLY basis (i.e. yc…

A: The payment amount is the amount paid periodically during the period. It is decided as per the terms…

Q: Suppose you have a student loan of $35,000 with an APR of 6% for 40 years. Complet parts (a) through…

A: A loan is a financial arrangement in which one party, typically a lender or a financial institution,…

Q: Question 1: Please draw the Cash Flow on the diagram.   You Take a Loan to Buy a car…

A: The monthly installment refers to the regular payment or receipt creates for a specific loan or…

Q: d. Using information from (la) only, what quarterly compounded interest rate should the bank quote…

A: The effective annual interest rate (EAR) is defined as the annual growth rate that takes compounding…

Q: You estimate that you will have $30,000 in student loans by the time you graduate. The interest rate…

A: Amount of the student loan =$30000The interest rate compounded monthly =5%Number of years of loan…

Q: You need to have $25000 for a down payment on a house in 5 years. If you can earn an annual interest…

A: Concept is of present value. Present value is the current value of a future cash flow at a specified…

Q: suppose you want to buy a new car that costs you 11284 OMR by a loan from bank Muscat for 6 years.…

A: Payment on a normal loan is considered as an annuity on which the loan value gradually decreases and…

Q: Not use excel Q)You take out a home loan for $250,000, with an annual interest rate of 6% for 30…

A: Solution:- When a loan is taken, it is to be repaid as a lump sum payment or in installments. When…

Q: If you want to earn 5% annual simple interest on an investment, how much should you pay for a note…

A: To solve this question one has to find the present value. Present value is the value of an…

Q: You are interested in purchasing a new home for $200,000, but you need to save 20% of the price to…

A: Data given: Price of new home=$200,000 Savings=20% of Price of new home APR=9% n=5 years   Required:…

Q: If you save $100 in bank with 4% annual interest rate for 3 years. What is the interest on interest…

A: The interest on interest will be difference of compounded interest and simple interest.

Q: Jane Smart plans to make the following deposits in an account towards cash purchase of a real estate…

A: The concept of money's time worth indicates that any sum of money is worth more currently as…

Q: Suppose you have a student loan of $35,000 with an APR of 6% for 40 years. Comp parts (a) through…

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

Q: You want to buy a car and therefore you borrowed $10,000 from a bank today for 6 years. The nominal…

A: Monthly Payment: It is the amount that is paid at the end of each month to the lender of the bond by…

Q: Suppose you are buying your first home for $144,000, and you have $17,000 for your down payment. You…

A: purchasing price = $144,000 down payment = $17,000 loan amount = $144,000 - 17,000…

Q: You pay a visit to your local payday loan company and you need to borrow £1000 for 1 week. They…

A: weekly Amount borrowed = £1000 Finance charge rate = 10% Number of week in a year = n = 52.1429