please solve A,B and C with work3. Suppose you have a credit card with a balance of $5200 and an interest rate of24.3% APR. The minimum payment is $105. The amount of interest due each month isfigured as current balance.. where r is the rate (decimal form) and n is 12.A) Fill in the table, making minimum payments.Month123456789101112Currentbalance$5200.00$5200.30Interest$105.30Calculation:Payment$105$105$105$105$105$105$105$105$105$105$105$105Amount applied to principal-$0.30B) Will you ever be out of debt with the credit card company? Explain. (Hint: Use thePresent value formula and solve for n).Calculation:C) Suppose you chose to pay $150 per month instead. Will you ever be out of debt withthe credit card company? Explain. (Hint: Use the Present value formula and solve forn).

Annual Percentage Rate is the rate of interest chargeable over a certain loan or mortgage over a…

please solve A,B and C with work 3. Suppose you have a credit card with a balance of $5200 and an interest rate of 24.3% APR. The minimum payment is $105. The amount of interest due each month is figured as current balance where r is the rate (decimal form) and n is 12. A) Fill in the table, making minimum payments. Month 1 2 3 4 56789 10 11 12 Current balance $5200.00 $5200.30 Interest $105.30 Calculation: Payment Amount applied to principal $105 $105 $105 $105 $105 $105 $105 $105 $105 $105 $105 $105 -$0.30 B) Will you ever be out of debt with the credit card company? Explain. (Hint: Use the Present value formula and solve for n). Calculation: C) Suppose you chose to pay $150 per month instead. Will you ever be out of debt with the credit card company? Explain. (Hint: Use the Present value formula and solve for n). Ca

please solve A,B and C with work 3. Suppose you have a credit card with a balance of $5200 and an interest rate of 24.3% APR. The minimum payment is $105. The amount of interest due each month is figured as current balance where r is the rate (decimal form) and n is 12. A) Fill in the table, making minimum payments. Month 1 2 3 4 56789 10 11 12 Current balance $5200.00 $5200.30 Interest $105.30 Calculation: Payment Amount applied to principal $105 $105 $105 $105 $105 $105 $105 $105 $105 $105 $105 $105 -$0.30 B) Will you ever be out of debt with the credit card company? Explain. (Hint: Use the Present value formula and solve for n). Calculation: C) Suppose you chose to pay $150 per month instead. Will you ever be out of debt with the credit card company? Explain. (Hint: Use the Present value formula and solve for n). Ca

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Related questions

Q: 1a. Suppose $100 is withdrawn at the end of 2022, emptying an account that earns 5% interest,…

Q: A merchant wants to have P2,000 to a small business for a period of 6 years. With a given interest…

A: here by using the compound interest formula will find the how much merchant invest , so calculation…

Q: A grocery store sells for $181,500 and a 20% down payment is made. A 35-year mortgage at 6% is…

A: A grocery store sells for $181,500 and a 20% down payment is made. A 35-year mortgage at 6% is…

Q: Find the EAR in each of the cases. Use 365 days a year- Do not round intermediate calculations and…

A: Given APR 8%, 16, 12, 15 compounded as quarterly, monthly, daily, infinitely. To calculate:- EAR=?…

Q: (a) Find the down payment. The down payment is $.

A: Here, given that the building sells for $275,000 and a 4% down payment is made.Then, we have to find…

Q: An investment wil pay you $25,400 in 20 years. The steted nterest rate is 13% (APR). Finterest in…

A: Present value, also known as present discounted value, is the value of an expected income stream…

Q: Determine the present equivalent value of the cash-flow diagram shown below when the annual interest…

A: The present value at t =0 is the current value of the sum of money to be received in the future,…

Q: You want to borrow $25,253. You must repay the loan in 14 years in equal monthly payments and a…

A: To solve this problem, we can use the formula for calculating the monthly payment on a loan with…

Q: 4. Find the nominal rate of 22% compounded every 3 months

A: Nominal rate of interest is one kind of interest in which the interest rate is calculated without…

Q: maintenance for the 8-year period? Assume 6% interest. Consider again the situation in question We…

A: Maintenance cost represents all expenses that are the result of your efforts to keep physical assets…

Q: Consider the following three cash flow series: End of Year Cash Flow Series A Cash Flow Series B…

A: Cash flow is the movement of money in and out of a company. Cash received signifies inflows, and…

Q: 14) George Springer will make $5,000 monthly payments into his Canadian Retirement account. At…

A: Monthly payment to retirement account = 5000 In retirement, he will receive 10,000 per month for 15…

Q: Please show work

A: suppose, the deposit in the account will be $5,000. Additional deposit is $4,000. Interest rate is…

Q: In saving for a future major purchace, Oksana has been making uniform deposits of $5,000 per year in…

A: According to the time value of money the value of money will have more worth at the present time…

Q: The owner of a small business borrows 40,000 on a 2-year contract at 5% interest compounded…

A: Formula to calculate interest in a given year = unpaid balance * rate of interest. The amount owed =…

Q: Please do fast check answer and add explanation...... Determine the amount to be deposited on…

A: Sure! This problem is essentially asking us to find out how much money we need to deposit today (on…

Question

please solve A,B and C with work
3. Suppose you have a credit card with a balance of $5200 and an interest rate of
24.3% APR. The minimum payment is $105. The amount of interest due each month is
figured as current balance.. where r is the rate (decimal form) and n is 12.
A) Fill in the table, making minimum payments.
Month
1
2
3
4
5
6
7
8
9
10
11
12
Current
balance
$5200.00
$5200.30
Interest
$105.30
Calculation:
Payment
$105
$105
$105
$105
$105
$105
$105
$105
$105
$105
$105
$105
Amount applied to principal
-$0.30
B) Will you ever be out of debt with the credit card company? Explain. (Hint: Use the
Present value formula and solve for n).
Calculation:
C) Suppose you chose to pay $150 per month instead. Will you ever be out of debt with
the credit card company? Explain. (Hint: Use the Present value formula and solve for
n).

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.

Similar questions

Determine the present equivalent value of the cash-flow diagram shown below when the annual interest rate, İk varies as indicated. Q P=? $2,500 i₁ = 6% 1 $5,000 The present equivalent value is $ 1₂ = 15% 2 13 = 12% 14 = 6% 3 Years $2,500 (Round to the nearest cent.) 4 $5,000 15 = 6% 16 = 15% 5 Click the icon to view the interest and annuity table for discrete compounding when i = 6% per year. Click the icon to view the interest and annuity table for discrete compounding when i = 12% per year. 6
Please answer only handwritten
1. Assume you graduate with a student loan total of $28,000. You are going to pay off this loan with monthly payments for the next 8 years. The monthly interest rate is 0.25%. What is your monthly payment amount? (Answer is not 3,539.49)
need help asap :((
Can you please help asap
Problem # 2: You want $60,000 six years from now for a new car, and your grandparents offer to give you $20,000 now. A part-time job will allow you to make six additional deposits, one at the end of each year. If the bank pays 6% interest (compounded annually), how large must your annual deposits be? 60,000 20,000 Tuma Annual=?