Q: A payday loan provides short-term loans ranging from $250 to $2,000. Assume the cost of the loan is…

A: Short term loan: Short-term loans are borrowed funds used to fulfill immediate liquidity demands,…

Q: Reya paid Php 9,250 on a loan made 6 months before at 12% simple interest. Find the interest…

A: Simple interest is simple interest without any compounding that means no interest on interest…

Q: A bank has made a 3-year $10 million dollar loan that pays annual interest of 8%. The principal is…

A: “Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…

Q: A firm took a one-year loan of $30,000 from a bank. Given the nominal interest rate is 6% p.a. and…

A: Nominal Rate = 6% p.a. No. of compounding period = 1

Q: Cloud Venture has a line of credit with a local bank of $75,000. The loan agreement calls for…

A: Information provided: Line of credit = $75000 Interest “r” = 6% Compensating balance  = 3% Amount to…

Q: using excel, answer the question: An investor takes a loan for $40000 to purchase inventory to…

A: We take loans to buy large ticket items like a car or a house which otherwise we cannot afford. The…

Q: A landscape architect accrued $7,855.39 in credit card debt. If the architect makes a monthly…

A: Credit card debt:The sum of funds that a person owes to a credit card issuer is referred to as…

Q: How much would she pay per month if she is to repay the loan in two years

A: We can determine the monthly payment by using the formula below:In the formula above r = monthly…

Q: Suppose you have a loan of $120,000 at an APR of 4.4% for 1 year. a. Write an amortization schedule…

A: Loan Repayment and the Amortization Schedule: A loan can be repaid by making smaller equal payments…

Q: k A has offered you a loan worth $20,000 for 180 days whereas bank B offered you the same loan but…

A: Credit, operational, market and liquidity risks are among the most serious threats that banks face.…

Q: A business promises to pay the investor of $4,000 today for a payment of $1,000 in one year's time,…

A: To calculate the present value we have to use the concept of the time value of money..The time value…

Q: EZ Pay Loans will lend you $100 today with repayment of $117.50 due in 1 month. Determine the…

A: Given Information : Present Value of loan : $ 100 Future Value : $ 117.50 Time : 1 month

Q: Your business requests a 3-month loan for $450,000. What will be the interest paid at the end of the…

A: A loan is a type of debt that a person or another entity assumes. The lender, which is often a…

Q: Suppose a customer has to pay a total amount of PhP 20,676 as a payment of a personal loan at the…

A: Solved using Financial Calculator  FV = 20,676 N = 3.5 * 4 = 14 I/Y = 4/4 = 1  CPT PV = 17,987.35

Q: An investor takes a loan for $40,000 to purchase inventory to start a business. The terms of the…

A: We take loans to buy large ticket items like a car or a house which otherwise we cannot afford. The…

Q: You have a credit card that has a balance of $7590at an APR of 21.99%. You plan to pay $400each…

A: The objective of this question is to determine how many months it will take to pay off a credit card…

Q: Suppose you are getting a loan from a bank to purchase a feed business. The interest rate on the…

A: APR(Annual percentage rate) refers to annual cost paid by the borrower for the loan taken which…

Q: Your business takes a loan for $5,000. The loan term is 90 days and you will pay $200 in interest…

A: Effective rate refers to the actual interest rate earned or paid after taking into account…

Q: Your company borrows $500,000 from a bank to finance the purchase of a new machine. The nominal…

A: First let us calculate the 4 equal half yearly payments that need to be made. This can be calculated…

Q: You have just purchased a car and taken out a $42,000 loan. The loan has a five-year term with…

A: Given Loan taken is $42000 term of loan is 5 years APR is 6.4%

Q: What is the lender's yield for a $350,000 loan amortized over 15 years at a 5.5% interest rate.…

A: Lender's yield is calculated by first computing the annual payment on the loans at the given rate of…

Q: Assume you borrowed $20,000 and the terms of the loan include paying 4% interest for a period of 10…

A:

Q: r wants to buy a property for $375,000 and qualified for a 80 percent loan. A fixed-rate loan is…

A:

Q: Write the Formula for the equation for the payment on the Loans (you do NOT need to evaluate) (a) 30…

A: Part (a) Loan Amount = $125,000 Time Period = 30 Years Interest Rate = 4.2%  Part (b) Loan Amount =…

Q: Using the APR table, how much interest would be charged for a $10,000 loan at 12.5% for 3 years?…

A: Computation of finance charge:

Q: loan shark made a loan of $5000 to be repaid with $5500 dollars at the end of two months. What is…

A: simple interest involves no compounding that means no interest on interest is included.

Q: 1. PEDRITO OBTAINS A LOAN FOR $140,000.00 FOR A TERM OF ONE YEAR AND EIGHT MONTHS WITH A SIMPLE…

A: Simple interest is a method of calculating interest on a principal amount without considering the…

Q: Calculate the loan principal.

A: We can determine the loan amount using the formula below:

Q: A car loan of ​$19,055.04 is to be repaid with​ end-of-month payments of ​$369.28. If interest is…

A: When money is given to another party in return for repayment of the loan principal plus interest, it…

Q: Suppose you are a relationship manager at an international bank. A customer who recently got…

A: To create the amortization table, first we will have to find the EMI. To find the EMI, we will use…

Q: Assume that you take out a $2000 loan for 53 months at 5.5% APR. How much total interest will you…

A: Total interest paid = Future amount payable - Loan amount Amount payable for the loan borrowed is…

Q: The executive of a label is looking to purchase a new rental for $3.9 million. Financing is offered…

A: Borrowings are the liability that is used to finance the requirement of the funds. The borrower…

Q: Use the following information to answer the question: Loan amount: $245,000 Loan term: 30 years…

A: Calculate the rate of interest keeping the same monthly instalments, tenure, however simply changed…

Q: Someone buys a car for 12,000$ and puts 25% down. They then get a simple interest amortized loan for…

A: APR: Annual percentage rate includes fees and additional costs related to the loan processing. It is…

Effective Interest Rate

The term interest rate can be defined as the amount that is charged by the lender as a percentage on the principal amount. Interest rate which is charged annually is known as annual percentage rate.