You have just signed up for a very strange loan - one that is amortized on a WEEKLY basis (i.e. yc make weekly principal and interest payments). The loan is for $1,000 at an annual interest rate of 5.2%. If you make weekly payments over the course of a year (i.e. 52 weeks), what is your weekly payment amount? O 19.01 O 19.74 19.58 20.23 19.23

You have just signed up for a very strange loan - one that is amortized on a WEEKLY basis (i.e. yc make weekly principal and interest payments). The loan is for $1,000 at an annual interest rate of 5.2%. If you make weekly payments over the course of a year (i.e. 52 weeks), what is your weekly payment amount? O 19.01 O 19.74 19.58 20.23 19.23

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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Similar questions

You take out a 5-year car loan with monthly payments of $425. The interest rate for the loan is 4.75%. How much total interest will you pay over the life of the loan? Group of answer choices $1,575.06 $22,658.31 $25,500.00 $2,841.69
Vijay
You pay a visit to your local payday loan company and you need to borrow £1000 for 1 week. They inform you there will be a 10% finance charge on the amount you borrow. Calculate the APR you are being charged on the loan. Choose the closest value. 5% 521% 36 50%
19 You borrow $5,600 to buy a car. The terms of the loan call for monthly payments for four years at a 5.9% rate of interest. What is the amount of each payment? A. $103.22 B $130.62 C $103.73 D $131.26 OA OB OC OD
A friend agreed to lend you money today. You must repay your friend by making payments of $30 per month for the next six months. The first payment must be paid today. In addition, you must pay 2 percent interest per month. How much total interest will you end up paying your friend? Multiple Choice о $9.50 О $4.50 о $4.68 C $8.60
How much is the interest if you need to borrow $400,000 for one year with $475,000 line credit, where any borrowing have a single payment interest of 20% and there is a 1.5% fee for any unused credit? * 80000 O 1125 60000 1265 32000
19) Special Loan You take out a $100,000 loan to buy a new yacht. The annual loan rate is ? = 0.04 and the loan period is ? = 10. a. How much is the monthly loan repayment amount? b. If you double your loan repayment each month for the first year, how long will it take to repay the loan? E.g., you double your loan payment amount from part (a) for the first twelve months only, t=1, t=2, ..., t=12. 17)
Suppose Frank buys a car for € 20,000 by borrowing this amount from a financial intermediary. He is to pay the loan back with monthly payments for the next five years, and the annual interest rate is 6%. Which of the following formulas determines Frank's monthly payment? Loan Amount x (0.06 / [1/ (1 + 0.06)]') Loan Amount x (0.005 / {1 - [1/ (1 + 0.005)j6° }) Loan Amount x (6 / {1 - [1/ (1 + 6)]'}) Frank's monthly payment is equal to If Frank decides to repay the loan in six years instead of five years, his monthly payment would O O
K You have just taken out a $27,000 car loan with a 4% APR, compounded monthly. The loan is for five years. When you make your first payment in one month, how much of the payment will go toward the principal of the loan and how much will go toward interest? (Note: Be careful not to round any intermediate steps less than six decimal places.) When you make your first payment, $ will go toward the principal of the loan and $ will go toward the interest. (Round to the nearest cent.)
Question 3: You just got a loan for $15,000 and you plan to pay it off in three years. Your monthly payments are $500 each. What is the interest rate that the bank is charging you? What if you did bi- monthly payments of $250? How much sooner will the loan be paid off?
You buy a car costing $28,000 today. What will be the monthly payment on this car if you put no money down (i.e., you borrow/finance the full amount), and the rate of interest on the loan is 7.2%? The loan is to be paid back in equal monthly installments over the next 5 years, with the first payment due one month from the purchase date. $395.54 $500.12 $475.38 $557.08 $484.95
You bought a house for $500,000 with a 30 year bank loan that has quarterly payments at an interest rate of 7% (APR). Immediately after year 10 (20 years left on the loan). You will resell the house for $ 600,000 and completely pay off the rest of the loan. How much do you have to pay the bank to completely pay off the loan? $428, 652.86 $426,866.75 $361, 273.83 $514,383.43

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