Please refer to below spreadsheet for calculation and answer. Cell reference also provided.
Cell reference -
Hope this will help, please do comment if you need any further explanation. Your feedback would be highly appreciated.
Problem 5-38 Annuity Interest Rate (LG5-8) To borrow $1,300, you are offered an add-on interest loan...
Problem 5-38 Annuity Interest Rate (LG5-8) To borrow $1,300, you are offered an add-on interest loan at 6 percent. Three another at eight months, and the last one at the end of the year. Compute the three equal payments. (Round your answer to 2 decimal places.) Three equal payments
Question 2.To borrow $1,400, you are offered an add-on interest loan at 7 percent. Three loan payments are to be made, one at four months, another at eight months, and the last one at the end of the year. Compute the three equal payments. (Round your answer to 2 decimal places.)
Problem 5-45 EAR of Add-On Interest Loan (LG5-7, LG5-8) To borrow $2,700, you are offered an add-on interest loan at 10.7 percent with 12 monthly payments. Compute the 12 equal payments. (Round your answer to 2 decimal places.)Use the amount you borrowed and the monthly payments you computed to calculate the APR of the loan. Then use that APRO compute the EAR of the loan.
Problem 5-46 EAR of Add-On Interest Loan (LG5-7, LG5-8) To borrow $1,350, you are offered an add on interest loan at 8.7 percent with 12 monthly payments. Compute the 12 equal payments. (Round your answer to 2 decimal places.) Use the amount you borrowed and the monthly payments you computed to calculate the APR of the loan. Then, use that APR to compute the EAR of the loan. (Do not round intermediate calculations and round your answer to 2 decimal places.)
To borrow $1,300, you are offered an add on interest loan at 8.8 percent with 12 monthly payments. Compute the 12 equal payments. Use the amount you borrowed and the monthly payments you computed to calculate the APR of the loan. Then, use that APR to compute the EAR of the loan.
To borrow $1,450, you are offered an add on interest loan at 8.5 percent with 12 monthly payments. Compute the 12 equal payments. (Round your answer to 2 decimal places.) Equal payments Use the amount you borrowed and the monthly payments you computed to calculate the APR of the loan. Then, use that APR to compute the EAR of the loan. (Do not round intermediate calculations and round your answer to 2 decimal places,) % EAR To borrow $1,450, you...
To borrow $1200 you are offered an add on interest loan at 10.00 percent with 12 monthly payments compute the 12 equal paymentUse the amount you borrowed and the monthly payments you computed to calculate the APR of the loan. Then, use that APR to compute the EAR of the loan.
To borrow $950, you are offered an add on interest loan at 9.5 percent with 12 monthly payments. Compute the 12 equal payments. (Round your answer to 2 decimal places.) Find Equal Payments $ Use the amount you borrowed and the monthly payments you computed to calculate the APR of the loan. Then, use that APR to compute the EAR of the loan. (Do not round intermediate calculations and round your answer to 2 decimal places.) Find EAR %
To borrow $3,700, you are offered an add-on interest loan at 9.3 percent with 12 monthly payments. Compute the 12 equal payments. (Round your answer to 2 decimal places.) Equal payment Use the amount you borrowed and the monthly payments you computed to calculate the APR of the loan. Then, use that APR to compute the EAR of the loan. (Do not round intermediate calculations and round your final answer to 2 decimal places.) EAR %
To borrow $2,300. you are offered an add-on interest loan at 10.3 percent with 12 monthly payments. Compute the 12 equal payments. (Round your answer to 2 decimal places.) Use the amount you borrowed and the monthly payments you computed to calculate the APR of the loan. Then, use that APR to compute the EAR of the loan. (Do not round intermediate calculations and round your final answer to 2 decimal places.)