The interest rate on a $15,300 loan is 9.7% compounded semiannually. Semiannual payments will pay off the loan in nine years. (Donot round intermediate calculations. Round the PMT and final answers to 2 decimal places.)a. Calculate the interest component of Payment 12.$b. Calculate the principal component of Payment 5.Principalc. Calculate the interest paid in Year 8.Interest paidd. How much do Payments 5 to 8 inclusive reduce the principal balance?Principal reductionInterest

The sum borrowed to meet the specific personal and business funding requirements is regarded as a…

Answered: The interest rate on a $15,300 loan is…

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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The interest rate on a $55,000 loan is 8.2% compounded semiannually. Quarterly payments will pay off the loan in fourteen years. (Do not round intermediate calculations and round your final answers to 2 decimal places.) a. Calculate the interest component of Payment 12. Interest $ b. Calculate the principal component of Payment 49. Principal $ c. Calculate the total interest in Payments 39 to 50 inclusive. Total interest $ d. Calculate the reduction of principal in Year 4. Principal reduction $
The interest rate on a $65,000O loan is 9.8% compounded semiannually. Quarterly payments will pay off the loan in twelve years (Do not round intermediate calculations and round your final answers to 2 decimal places.) a. Calculate the interest component of Payment 10. Interest b. Calculate the principal component of Payment 41. Principal c. Caldulate the total interest in Payments 29 to 40 inclusive. Total interest d. Calculate the reduction of principal in Year 3. Principal reduction
Determine the monthly payment for the installment loan. Use the installment payment formula m = 1- Amount Financed (P) $1,440 O A. $179.15 B. $35.15 O C. $125.26 O D. $366.02 P n 1+) - not Annual Percentage Rate (r) 8% Number of Payments per Year (n) 12 Time in Years (t) 4
How much total principal is repaid between the 1st and 7th payment interval of a 4.5-year loan for $4887 at an interest rate of 7.4% compounded monthly and the payments are also monthly. Round your answer to the nearest dollar.
A loan of $17,500.00 is repaid by making annual payments of $5,781.10 at the end of each year. If interest is 6.13% compounded annually. How many payments are required to amortize the loan? Round UP the answer to the next higher whole number (e.g. 5.12 must be entered as 6). Number of payments = whole number) PV=$ 2) (enter a 3) 4) Complete the amortization table below. Enter only POSITIVE VALUES IN THE AMORTIZATION TABLE (rounded to two decimal places). Total Payment number Payment amount Interest Paid Principal Repaid Balance 0) $17,500.00 1) FA tA I/Y= $ PMT=$ $ GA FA A SA FA GA P/Y=C/Y= GA FV=$ A GA GA EA $
The interest rate for the first four years of an $89,000 mortgage loan is 8.3% compounded semiannually. Monthly payments are calculated using a 20-year amortization.a. What will be the principal balance at the end of the four-year term? (Do not round intermediate calculations and round your final answer to 2 decimal places.)Principal balance $ b. What will be the monthly payments if the loan is renewed at 5.7% compounded semiannually (and the original amortization period is continued)? (Do not round intermediate calculations and round your final answer to 2 decimal places.)Payment $ per month
A loan is to be repaid over 30 years, with month-end repayments of 5,000. If the interest rate is 3.7% p.a. compounded monthly. Calculate the interest paid for year 10. Correct your answer to the nearest cent without any units. (Do not use "$" or "," in your answer. e.g. 12345.67)
The interest rate on a $63,000 loan is 9.5% compounded semiannually. Quarterly payments will pay off the loan in twelve years. Do not round intermediate calculations and round your final answers to 2 decimal places. a) Calculate the interest component of Payment 10. b) Calculate the principal component of Payment 40. c) Calculate the total interest in Payments 29 and 40 inclusive. d) Calculate the reduction or principal in year 5.
The interest rate on a $100,000 loan is 7.2% compounded semiannually. The monthly payments on the loan are $700. Do not round intermediate calculations. Round the PMT and final answers to 2 decimal points. a) Calculate the interest component of Payment 221. b) Calculate the principal component of Payment 156. c) Calculate the final payment.
What monthly payment is required to pay off a $60,000 loan in seven years if the interest rate on the loan is 8.7% compounded: (Do not round intermediate calculations and round your final answers to 2 decimal places.) a. Annually b. Seniannually c. Quarterly d. Monthly Required payment $ $ $ $
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A demand loan for $10,088.75 with interest at 7.1% compounded annually is repaid after 4 years, 8 months. What is the amount of interest paid? The amount of interest is $ (Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.)

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