You purchased a laptop computer worth PhP 37,500 by a 30% down payment and agreed to repay the balance in 12 equal monthly payments. There is a 10% simple interest rate on this balance. a. Find the finance charge b. Find the amount of monthly payments c. Estimate the APR
You purchased a laptop computer worth PhP 37,500 by a 30% down payment and agreed to repay the balance in 12 equal monthly payments. There is a 10% simple interest rate on this balance. a. Find the finance charge b. Find the amount of monthly payments c. Estimate the APR
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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1. You purchased a laptop computer worth PhP 37,500 by a 30% down payment and agreed to
repay the balance in 12 equal monthly payments. There is a 10% simple interest rate on this
balance.
a. Find the finance charge
b. Find the amount of monthly payments
c. Estimate the APR
2. The US inflation rate is steady at 6.1%. If John expects an amount of USD 200,000.00 for his
retirement in 2030, calculate the purchasing power of this amount. Will he be able to buy a
house that’s worth about USD 100,000.00 today?
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