If you borrow $40,000 at an annual interest rate of 11% for seven years, what is the annual payment (prior to maturity) on a discount loan?
=(11%*(40000))/(1-(1+11%)^(-7)
Annual payment=$8488.81
If you borrow $40,000 at an annual interest rate of 11% for seven years, what is...
A two-year investment of $200 is made today at an annual interest rate of 6%. Which of the following statements is TRUE? The future value would be greater if the interest rate were lower. The interest earned in year two is $12.00 and year one is $12.72. The interest earned in year one is $12.00 and year two is $12.72. The FV is $224.00. If you borrow $40,000 at an annual interest rate of 11% for seven years, what is...
You plan to borrow $40,000 at a 6% annual interest rate. The terms require you to amortize the loan with 7 equal end-of-year payments. How much interest would you be paying in Year 2?
You borrow $80,000; the annual loan payments are $7,106.19 for 30 years. What interest rate are you being charged? Round your answer to the nearest whole number.
You borrow $280,000; the annual loan payments are $24,871.68 for 30 years. What interest rate are you being charged? Round your answer to two decimal places.
(20 points) You borrow $3000 for four years at an annual effective interest rate of i. The investor pays interest only on the loan at the end of each year and accumulates the amount necessary to repay the principal at the end of four years by making level payments at the end of each year into a sinking fund (an account used to accumulate money needed to pay back a debt). The sinking fund earns an annual effective interest rate...
You borrow $456,996.03 at an annual interest rate of 4.12%, compounded once every year. If you have 5 years to pay off the loan, what must be your per period payment?
5.17 You borrow $245,000; the annual loan payments are $15,937.60 for 30 years. What interest rate are you being charged? Round your answer to the nearest whole number. %
You borrow $285,000; the annual loan payments are $43,405.56 for 30 years. What interest rate are you being charged? Round your answer to two decimal places. Please show how to enter this in a finance calculator
You wish to borrow 200,000 for 20 years at 7% interest rate and amortize the loan by making monthly payments. You also agree to make a balloon payment of $30,000 at the end of your last month (240th month). What will be your monthly payment? (using financial calculator)
9. You are offered an investment with a quoted annual interest rate of 6.75% with quarterly compounding of interest. What is your effective annual interest rate? 10. You are offered an annuity that will pay $15,000 per year for 20 years (the first payment will occur one year from today). If you feel that the appropriate discount rate is 3%, what is the annuity worth to you today? 11. If you deposit $6,500 per year (each deposit is made at...