Suppose you borrowed $45,000 at a rate of 8.4% and must repay it in 5 equal installments at the end of each of the next 5 years. How much would you still owe at the end ofthe first year, after you have made the first payment?a. $36,000.00O b. $38,272.98Oc $37,390.39O d. $34,492.98O e. $33,610.39

First we will calculate the amount of installment with the help of following formula Installment =…

Answered: Suppose you borrowed $45,000 at a rate…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Suppose you borrowed $35,000 at a rate of 8.1% and must repay it in 4 equal installments at the end of each of the next 4 years. How large would your payments be? O a. $7,755.76 O'b. $11,585.00 O c. $11,948,43 O d. $9,797.19 O e. $10,590.76
Assume that you borrow 50,000 JPY under the system of 5% yearly compound interest. (1) If you repay annually in the plan of principal equal payment and pay off at the 10th repayment, calculate the total amount of all 10 repayments. (2) If you repay annually 8,000 in the plan of total (principal and interest) equal payment, you will pay off at 8th payment. How much is your final (8th) payment ? (1) (2)
- In how many years will it take $17804accumulate to $33482 when you deposited in a savings account that earns 3% compounded annually? - A debt of $15,000 was paid for as follows: $4,000 at the end of 3 months, $5,000 at the end of 12 months, $3,000 at the end of 15 months, and a final payment F at the end of 21 months. If the rate of interest was 18% compounded quarterly., find the final payment F.
4f
Suppose you have $1,000,000 in savings account when you retire. Your plan is to withdraw $6,000 a month as retirement income from this account. You expect to earn annual interest of 5%, compounded monthly, on your money during your retirement. How many months can you be retired until you run out of money? A-210.83 B-262.59 C-220.27 D-285.14
1.5 Suppose you would like to retire in 15 years. To save for retirement, you deposit an amount A into the bank at the beginning of the next 180 months. After that period, you would like to withdraw $1,000 at the beginning of the following 300 months. Assume a nominal yearly rate of 7.5% compounded monthly. What amount does A have to be?
Suppose you borrowed $20,000 at a rate of 9.2% and must repay it in 5 equal installments at the end of each of the next 5 years. How much would you still owe at the end of the first year, after you have made the first payment? O a. $16,000.00 O b. $17,106.89 Oc. $14,831.44 O d. $16,671.44 Oe. $15,266.89
Suppose you borrowed $25, 000 at a rate of 9.0% and must repay it in 4 equal installments at the end of each of the next 4 years. How large would your payments be? Select the correct answer. a. $7, 703.52 b. $7, 729.92 c. $7, 716.72 d. $7, 736.52 e. $7,723.32
Suppose you borrowed $15,000 at a rate of 8.5% and must repay it in 5 equal installments at the end of each of the next 5 years. How much would you still owe at the end of the first year, after you have made the first payment? $10,155.68 $10,690.19 $11,252.83 $11,845.09 $12,468.51

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