(a) Explanation Given: Principal of loan P = $ 15 , 000 , rate of interest is 2.99% compounded monthly for 60 months. Explanation: In the first offer, the Union offers 2.99% annual interest rate for 60 months. Use the formula for the amortization payments, R = P i 1 − ( 1 + i ) − n Here, P is the principal of loan, R is the periodic payment, i is the interest rate per period and n is the number of periods. As the loan is for 60 months, n = 60 and, the interest rate per period will be i = 1 12 × 2.99 % = 1 12 × 0.0299 = 0.0299 12 = 299 120 , 000 Substitute P = $ 15 , 000 , i = 299 120 , 000 and n = 60 , the value of each monthly payment will be R = P i 1 − ( 1 + i ) − n = 15 , 000 × 299 120 (b) To determine The monthly payments necessary to amortize a home loan of $ 15,000 for 84 months at 3.49% interest rate and the total amount paid. (c) To determine To write: Which deal is the best.

Finite Mathematics, Books a la Carte Plus MyLab Math Access Card Package (11th Edition)

11th Edition

ISBN: 9780133886818

Author: Margaret L. Lial, Raymond N. Greenwell, Nathan P. Ritchey

Publisher: PEARSON

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Chapter 5, Problem 77RE

(a)

To determine

The monthly payments necessary to amortize a home loan of $ 15,000 for 60 months at 2.99% interest rate and the total amount paid.

(b)

To determine

The monthly payments necessary to amortize a home loan of $ 15,000 for 84 months at 3.49% interest rate and the total amount paid.

(c)

To determine

To write: Which deal is the best.

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Chapter 5, Problem 76RE

Chapter 5, Problem 78RE

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Chapter 5 Solutions

Finite Mathematics, Books a la Carte Plus MyLab Math Access Card Package (11th Edition)

Ch. 5.1 - 1. What factors determine the amount of interest...Ch. 5.1 - In your own words, describe the maturity value of...Ch. 5.1 - 3. What is meant by the present value of...Ch. 5.1 - We calculated the loan in Example 2(b) assuming...Ch. 5.1 - Find the simple interest. $25,000 at 3% for 9...Ch. 5.1 - Find the simple interest. 6. $4289 at 4.5% for...Ch. 5.1 - Find the simple interest. 7. $1974 at 6.3% for...Ch. 5.1 - Find the simple interest. 8. $6125 at 1.25% for...Ch. 5.1 - Find the simple interest. Assume a 360-day year....Ch. 5.1 - Find the simple interest. Assume a 360-day...

Ch. 5.1 - Find the maturity value and the amount of simple...Ch. 5.1 - Find the maturity value and the amount of simple...Ch. 5.1 - Find the maturity value and the amount of simple...Ch. 5.1 - Find the maturity value and the amount of...Ch. 5.1 - 15. Explain the difference between simple...Ch. 5.1 - Prob. 16E Ch. 5.1 - 17. What is the difference between t and n? Ch. 5.1 - In Figure 2, one line is straight and the other is...Ch. 5.1 - Find the compound amount for each deposit and the...Ch. 5.1 - Find the compound amount for each deposit and...Ch. 5.1 - Prob. 21E Ch. 5.1 - Prob. 22E Ch. 5.1 - Prob. 23E Ch. 5.1 - Find the compound amount for each deposit and the...Ch. 5.1 - Find the interest rate for each deposit and...Ch. 5.1 - Prob. 26E Ch. 5.1 - Find the interest rate for each deposit and...Ch. 5.1 - Prob. 28E Ch. 5.1 - Prob. 29E Ch. 5.1 - Find the effective rate corresponding to each...Ch. 5.1 - Find the effective rate corresponding to each...Ch. 5.1 - Prob. 32E Ch. 5.1 - Prob. 33E Ch. 5.1 - Prob. 34E Ch. 5.1 - Find the present value (the amount that should be...Ch. 5.1 - Prob. 36E Ch. 5.1 - Prob. 37E Ch. 5.1 - Prob. 38E Ch. 5.1 - Find the present value (the amount that should...Ch. 5.1 - Prob. 40E Ch. 5.1 - Prob. 41E Ch. 5.1 - Prob. 42E Ch. 5.1 - Prob. 43E Ch. 5.1 - Prob. 44E Ch. 5.1 - Find the doubling time for each of the...Ch. 5.1 - Prob. 46E Ch. 5.1 - Prob. 47E Ch. 5.1 - Prob. 48E Ch. 5.1 - Prob. 49E Ch. 5.1 - 50. Delinquent Taxes An accountant for a...Ch. 5.1 - Savings A $1500 certificate of deposit held for 75...Ch. 5.1 - Prob. 52E Ch. 5.1 - Cash Advance Fees According to an advertisement,...Ch. 5.1 - Prob. 54E Ch. 5.1 - Investments Suppose $10,000 is invested at an...Ch. 5.1 - 56. Investments In Exercise 55, notice that as...Ch. 5.1 - Prob. 57E Ch. 5.1 - Prob. 58E Ch. 5.1 - Student Loan Upon graduation from college, Warren...Ch. 5.1 - Comparing Investments Two partners agree to invest...Ch. 5.1 - Prob. 61E Ch. 5.1 - Prob. 62E Ch. 5.1 - Negative Interest Under certain conditions, Swiss...Ch. 5.1 - Negative Interest Under certain conditions,...Ch. 5.1 - Savings On January 1, 2010, Jack deposited $1000...Ch. 5.1 - Prob. 66E Ch. 5.1 - Prob. 67E Ch. 5.1 - Prob. 68E Ch. 5.1 - Prob. 69E Ch. 5.1 - 70. Effective Rate Determine the effective...Ch. 5.1 - Prob. 71E Ch. 5.1 - Prob. 72E Ch. 5.1 - Buying a House Cara Tilley wants to have $30,000...Ch. 5.1 - Prob. 74E Ch. 5.1 - Doubling Time Use the ideas from Example 11 to...Ch. 5.1 - Prob. 76E Ch. 5.1 - Prob. 77E Ch. 5.1 - Prob. 78E Ch. 5.1 - Prob. 79E Ch. 5.1 - Prob. 80E Ch. 5.2 - Find the fifth term of each geometric sequence. a...Ch. 5.2 - Prob. 2E Ch. 5.2 - Prob. 3E Ch. 5.2 - Prob. 4E Ch. 5.2 - Find the fifth term of each geometric sequence. a...Ch. 5.2 - Find the fifth term of each geometric...Ch. 5.2 - Find the fifth term of each geometric...Ch. 5.2 - Prob. 8E Ch. 5.2 - Prob. 9E Ch. 5.2 - Find the sum of the first four terms for each...Ch. 5.2 - Prob. 11E Ch. 5.2 - Prob. 12E Ch. 5.2 - Prob. 13E Ch. 5.2 - Prob. 14E Ch. 5.2 - Find the sum of the first four terms for each...Ch. 5.2 - Prob. 16E Ch. 5.2 - Prob. 17E Ch. 5.2 - Prob. 18E Ch. 5.2 - Prob. 19E Ch. 5.2 - Find the future value of each ordinary annuity....Ch. 5.2 - Prob. 21E Ch. 5.2 - Find the future value of each ordinary annuity,...Ch. 5.2 - Find the future value of each ordinary annuity,...Ch. 5.2 - Prob. 24E Ch. 5.2 - Find the future value of each ordinary annuity, if...Ch. 5.2 - Prob. 26E Ch. 5.2 - Find the future value of each ordinary annuity,...Ch. 5.2 - Prob. 28E Ch. 5.2 - Determine the interest rate needed to accumulate...Ch. 5.2 - Determine the interest rate needed to accumulate...Ch. 5.2 - Find the periodic payment that will amount to...Ch. 5.2 - Prob. 32E Ch. 5.2 - Prob. 33E Ch. 5.2 - Find the amount of each payment to be made into...Ch. 5.2 - Find the amount of each payment to be made into a...Ch. 5.2 - Prob. 36E Ch. 5.2 - Prob. 37E Ch. 5.2 - Prob. 38E Ch. 5.2 - Find the future value of each annuity due....Ch. 5.2 - Find the future value of each annuity due. Assume...Ch. 5.2 - Prob. 41E Ch. 5.2 - Prob. 42E Ch. 5.2 - Prob. 43E Ch. 5.2 - Prob. 44E Ch. 5.2 - Find the future value of each annuity due. Then...Ch. 5.2 - Prob. 46E Ch. 5.2 - Prob. 47E Ch. 5.2 - Prob. 48E Ch. 5.2 - Prob. 49E Ch. 5.2 - 50. Retirement Planning A 45-year-old man puts...Ch. 5.2 - 51. Retirement Planning At the end of each...Ch. 5.2 - Prob. 52E Ch. 5.2 - Prob. 53E Ch. 5.2 - Prob. 54E Ch. 5.2 - Individual Retirement Accounts Suppose a...Ch. 5.2 - Prob. 56E Ch. 5.2 - Prob. 57E Ch. 5.2 - Prob. 58E Ch. 5.2 - Prob. 59E Ch. 5.2 - Savings A father opened a savings account for his...Ch. 5.2 - Prob. 61E Ch. 5.2 - Savings Nic Daubenmire deposits $10,000 at the...Ch. 5.2 - Prob. 63E Ch. 5.2 - Prob. 64E Ch. 5.2 - Lottery In a 1992 Virginia lottery, the jackpot...Ch. 5.2 - Prob. 66E Ch. 5.2 - Prob. 67E Ch. 5.2 - Prob. 68E Ch. 5.3 - Explain the difference between the present value...Ch. 5.3 - 2. What does it mean to amortize a loan? Ch. 5.3 - Prob. 3E Ch. 5.3 - Find the present value of each ordinary annuity....Ch. 5.3 - Find the present value of each ordinary...Ch. 5.3 - Find the present value of each ordinary...Ch. 5.3 - Find the present value of each ordinary annuity....Ch. 5.3 - Find the present value of each ordinary...Ch. 5.3 - Find the lump sum deposited today that will yield...Ch. 5.3 - Find the lump sum deposited today that will yield...Ch. 5.3 - Find (a) the payment necessary to amortize each...Ch. 5.3 - Find (a) the payment necessary to amortize each...Ch. 5.3 - Find (a) the payment necessary to amortize each...Ch. 5.3 - Find (a) the payment necessary to amortize each...Ch. 5.3 - Find (a) the payment necessary to amortize each...Ch. 5.3 - Find (a) the payment necessary to amortize each...Ch. 5.3 - Suppose that in the loans described in Exercises...Ch. 5.3 - Suppose that in the loans described in Exercises...Ch. 5.3 - Suppose that in the loans described in Exercises...Ch. 5.3 - Suppose that in the loans described in Exercises...Ch. 5.3 - Prob. 21E Ch. 5.3 - Prob. 22E Ch. 5.3 - Prob. 23E Ch. 5.3 - Prob. 24E Ch. 5.3 - What sum deposited today at 5% compounded annually...Ch. 5.3 - What lump sum deposited today at 8% compounded...Ch. 5.3 - Prob. 27E Ch. 5.3 - Prob. 28E Ch. 5.3 - Prob. 29E Ch. 5.3 - Find the monthly house payments necessary to...Ch. 5.3 - Prob. 31E Ch. 5.3 - Suppose that in the loans described in Exercise...Ch. 5.3 - Suppose that in the loans described in Exercise...Ch. 5.3 - Prob. 34E Ch. 5.3 - House Payments Calculate the monthly payment and...Ch. 5.3 - Prob. 36E Ch. 5.3 - Prob. 37E Ch. 5.3 - Prob. 38E Ch. 5.3 - Prob. 39E Ch. 5.3 - 40. New Car Financing In 2014, some dealers...Ch. 5.3 - Prob. 41E Ch. 5.3 - Prob. 42E Ch. 5.3 - Prob. 43E Ch. 5.3 - Prob. 44E Ch. 5.3 - Installment Buying In Exercises 44-46, prepare an...Ch. 5.3 - Prob. 46E Ch. 5.3 - Prob. 47E Ch. 5.3 - Prob. 48E Ch. 5.3 - House Payments Jason Hoffa buys a house for...Ch. 5.3 - 50. House Payments The Chavara family buys a...Ch. 5.3 - Prob. 51E Ch. 5.3 - Prob. 52E Ch. 5.3 - Prob. 53E Ch. 5.3 - Prob. 54E Ch. 5.3 - Prob. 55E Ch. 5.3 - Prob. 56E Ch. 5.3 - Prob. 57E Ch. 5 - Lorri Morgan received $50 on her 16th birthday,...Ch. 5 - At the beginning of the year, Yvette Virgil...Ch. 5 - Prob. 3EA Ch. 5 - Prob. 4EA Ch. 5 - People often lose money on investments. Karen...Ch. 5 - Prob. 1RE Ch. 5 - Prob. 2RE Ch. 5 - Prob. 3RE Ch. 5 - Prob. 4RE Ch. 5 - Prob. 5RE Ch. 5 - Prob. 6RE Ch. 5 - Prob. 7RE Ch. 5 - Prob. 8RE Ch. 5 - Prob. 9RE Ch. 5 - Prob. 10RE Ch. 5 - Prob. 11RE Ch. 5 - Find the simple interest for each loan. $4902 at...Ch. 5 - Prob. 13RE Ch. 5 - Prob. 14RE Ch. 5 - Prob. 15RE Ch. 5 - Prob. 16RE Ch. 5 - Prob. 17RE Ch. 5 - Find the compound amount in each loan. 18....Ch. 5 - Prob. 19RE Ch. 5 - Prob. 20RE Ch. 5 - Prob. 21RE Ch. 5 - Find the amount of interest earned by each...Ch. 5 - Find the amount of interest earned by each...Ch. 5 - Prob. 24RE Ch. 5 - Prob. 25RE Ch. 5 - Find the present value of each amount. $17,650 in...Ch. 5 - Prob. 27RE Ch. 5 - Prob. 28RE Ch. 5 - Prob. 29RE Ch. 5 - Prob. 30RE Ch. 5 - Prob. 31RE Ch. 5 - Prob. 32RE Ch. 5 - Prob. 33RE Ch. 5 - Prob. 34RE Ch. 5 - Prob. 35RE Ch. 5 - Prob. 36RE Ch. 5 - Prob. 37RE Ch. 5 - Prob. 38RE Ch. 5 - Find the future value of each annuity and the...Ch. 5 - Find the future value of each annuity and the...Ch. 5 - Prob. 41RE Ch. 5 - Prob. 42RE Ch. 5 - Prob. 43RE Ch. 5 - Prob. 44RE Ch. 5 - Prob. 45RE Ch. 5 - Find the amount of each payment that must be...Ch. 5 - Prob. 47RE Ch. 5 - Prob. 48RE Ch. 5 - Prob. 49RE Ch. 5 - Find the present value of each ordinary...Ch. 5 - Prob. 51RE Ch. 5 - Prob. 52RE Ch. 5 - Find the present value of each ordinary annuity....Ch. 5 - Prob. 54RE Ch. 5 - Find the amount of the payment necessary to...Ch. 5 - Prob. 56RE Ch. 5 - Prob. 57RE Ch. 5 - Prob. 58RE Ch. 5 - Prob. 59RE Ch. 5 - Prob. 60RE Ch. 5 - Prob. 61RE Ch. 5 - Prob. 62RE Ch. 5 - Prob. 63RE Ch. 5 - Personal Finance Carla Truss owes $5800 to her...Ch. 5 - Business Financing Candice Cotton needs to borrow...Ch. 5 - Prob. 66RE Ch. 5 - Business Investment A developer deposits $84,720...Ch. 5 - Prob. 68RE Ch. 5 - Prob. 69RE Ch. 5 - Prob. 70RE Ch. 5 - Prob. 71RE Ch. 5 - Prob. 72RE Ch. 5 - Business Financing The owner of Eastside Hallmark...Ch. 5 - Personal Finance To buy a new computer, David Berg...Ch. 5 - Prob. 75RE Ch. 5 - Prob. 76RE Ch. 5 - Prob. 77RE Ch. 5 - 78. New Car In Spring 2014, some dealers...Ch. 5 - Buying and Selling a House The Bahary family...Ch. 5 - Prob. 80RE Ch. 5 - Prob. 81RE

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The monthly payments necessary to amortize a home loan of $ 15,000 for 60 months at 2.99% interest rate and the total amount paid.

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The monthly payments necessary to amortize a home loan of $ 15,000 for 60 months at 2.99% interest rate and the total amount paid.

The monthly payments necessary to amortize a home loan of $ 15,000 for 84 months at 3.49% interest rate and the total amount paid.

To write: Which deal is the best.

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Chapter 5 Solutions