A banker has offered to finance a $30000 loan for 3 years at an annual nominated...
A banker has offered to finance a $30000 loan for 3 years at an annual nominated interest rate of 3% compounded monthly. You run into a family emergency and ask for the bank to delay the first payment. The banker agrees to delay the first payment by 6 months. How much is the monthly payment if the first payment is due at the end of month 6, and the other 35 payments will be made every month after that? (Uniform Series will be shifted by 6 months)
This is an engineering economics question. Please show all formulas and give explanations. Thank you!
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A banker has offered to finance a $30000 loan for 3 years at an
annual nominated...
Please use engineering economy relations. no excel. Problem 3: A family decided to buy a super...
Please use engineering economy relations. no excel.
Problem 3: A family decided to buy a super ski and water sports boat. They took out an $80,000,5-year, 6% per year, compounded monthly loan with monthly payments from their bank. After making only two payments, a banker friend offered to make them a better deal: a 5-year, 4.2% per year, compounded monthly loan. The principal on the new loan will be the remaining principal from the current loan. Answer the following questions:...
1- Your rich aunt wants to finance four years of college for you. Assuming an annual...
1- Your rich aunt wants to finance four years of college for you. Assuming an annual cost of $19,000, how much money must she put in your college fund now to cover the entire cost of your college education if the fund earns 6% per year. 2- You just bought a used car for $7,000 with no down payment using dealer financing at 5% APR compounded monthly. If you make monthly payments of $500, how many months will it take...
You buy a new home for $500,000 on the first day of the month. You put down $50,000 and finance the rest with a mortgage at 6% annual interest compounded monthly on the last day of the month. Your mon...
You buy a new home for $500,000 on the first day of the month. You put down $50,000 and finance the rest with a mortgage at 6% annual interest compounded monthly on the last day of the month. Your monthly payments including principal and interest are 2500. Your payments are due on the first day of the month, starting next month. What is your loan balance after your third monthly payment ? explain how you got the answer !
8.3-8.6. Using the Finance Formulas potage 2 of 21 15. Suppose you invest $5,000 in a...
8.3-8.6. Using the Finance Formulas potage 2 of 21 15. Suppose you invest $5,000 in a savings account that pays an annual interest rate of 4%. If the interest is compounded monthly, what is the balance in the account after 10 years? 16. You invest $5000 at 2.2% annual interest compounded quarterly. How much do you have after 5 years? 17. Against expert advice, you begin your retirement savings at age 40. You plan on retiring at age 65. How...
20 pm andmother would like to pay your first two years of rent while you're in...
20 pm andmother would like to pay your first two years of rent while you're in college by giving you the money you'll need in one lump sum. You share an apartment with another student and currently spend 300 per month on your share of the rent. Assume you receive the lump sum today, and you will raw 5300 per month, starting one month from today and continuing every month thereafter for two years. (PIA, 170, 24) a (o points)...
Karim Soltan is shopping for a new vehicle, and has noticed that many vehicle manufacturers are...
Karim Soltan is shopping for a new vehicle, and has noticed that many vehicle manufacturers are offering special deals to sell off the current year’s vehicles before the new models arrive. Karim’s local Ford dealership is advertising 3.9% financing for a full 48 months (i.e., 3.9% compounded monthly) or up to $4000 cash back on selected vehicles. The vehicle that Karim wants to purchase costs $24 600 including taxes, delivery, licence, and dealer preparation. This vehicle qualifies for $1800 cash...
4(a) For the use of space, a warehouse owner has been offered the following contract: Year...
4(a) For the use of space, a warehouse owner has been offered the following contract: Year 1: $2,000 at the beginning of year 1 plus $2,000 at the end of year 1 Years 2 to 6: $2,000 per year (end-of-year payments) for years 2 to 6. Years 7 to 15: $3,000 for year 7 and for the following years, an increase of $1000/year (end of year payments) (i.e. year 7 payment will be $3,000, for year 8 the payment will...
which option is correct without explanation 11 If a company borrows $100 000 at an interest...
which option is correct without explanation
11 If a company borrows $100 000 at an interest rate of 20% per year, compounded semi-annually and makes payments of $15,000 every 6 months, the length of time required for the company to pay off the loan is closest to A. 7 years B, 9 years C. Less than 6 years D. More than 10 years 12.lfi-10%, the value ofXìn the following CFD is closest to: A, 826 В. 1085 C, 268 D....
3. How long would it take for S&S Air to pay off the smart loan assuming...
3. How long would it take for S&S Air to pay off the
smart loan assuming 30-year traditional mortgage
payments? Why is this shorter than the time
needed to pay off the traditional mortgage? How
much interest would the company save?
S&S Air’s Mortgage ark Sexton and Todd Story, the owners of S&S Air, Inc., greatest Interest savings. At Todd's prompting, she goes IV Iwere impressed by the work Chris had done on finan on to explain a bullet loan....
You need 400,000 to buy a flat. So, you go to the bank and ask for that amount. The bank offers an annual interest rate of 3%, and the loan has to be paid back in 20 years, in constant monthly...
You need 400,000 to buy a flat. So, you go to the bank and ask for that amount. The bank offers an annual interest rate of 3%, and the loan has to be paid back in 20 years, in constant monthly payments. Calculate how much you'll have to pay back to the bank every month (write the result with no decimal points) Answer: How much you should invest today in a financial product that offers a 5% interest rate (compounded...
Please use engineering economy relations. no excel.
Problem 3: A family decided to buy a super ski and water sports boat. They took out an $80,000,5-year, 6% per year, compounded monthly loan with monthly payments from their bank. After making only two payments, a banker friend offered to make them a better deal: a 5-year, 4.2% per year, compounded monthly loan. The principal on the new loan will be the remaining principal from the current loan. Answer the following questions:...
8.3-8.6. Using the Finance Formulas potage 2 of 21 15. Suppose you invest $5,000 in a savings account that pays an annual interest rate of 4%. If the interest is compounded monthly, what is the balance in the account after 10 years? 16. You invest $5000 at 2.2% annual interest compounded quarterly. How much do you have after 5 years? 17. Against expert advice, you begin your retirement savings at age 40. You plan on retiring at age 65. How...
20 pm andmother would like to pay your first two years of rent while you're in college by giving you the money you'll need in one lump sum. You share an apartment with another student and currently spend 300 per month on your share of the rent. Assume you receive the lump sum today, and you will raw 5300 per month, starting one month from today and continuing every month thereafter for two years. (PIA, 170, 24) a (o points)...
4(a) For the use of space, a warehouse owner has been offered the following contract: Year 1: $2,000 at the beginning of year 1 plus $2,000 at the end of year 1 Years 2 to 6: $2,000 per year (end-of-year payments) for years 2 to 6. Years 7 to 15: $3,000 for year 7 and for the following years, an increase of $1000/year (end of year payments) (i.e. year 7 payment will be $3,000, for year 8 the payment will...
which option is correct without explanation
11 If a company borrows $100 000 at an interest rate of 20% per year, compounded semi-annually and makes payments of $15,000 every 6 months, the length of time required for the company to pay off the loan is closest to A. 7 years B, 9 years C. Less than 6 years D. More than 10 years 12.lfi-10%, the value ofXìn the following CFD is closest to: A, 826 В. 1085 C, 268 D....
3. How long would it take for S&S Air to pay off the
smart loan assuming 30-year traditional mortgage
payments? Why is this shorter than the time
needed to pay off the traditional mortgage? How
much interest would the company save?
S&S Air’s Mortgage ark Sexton and Todd Story, the owners of S&S Air, Inc., greatest Interest savings. At Todd's prompting, she goes IV Iwere impressed by the work Chris had done on finan on to explain a bullet loan....
You need 400,000 to buy a flat. So, you go to the bank and ask for that amount. The bank offers an annual interest rate of 3%, and the loan has to be paid back in 20 years, in constant monthly payments. Calculate how much you'll have to pay back to the bank every month (write the result with no decimal points) Answer: How much you should invest today in a financial product that offers a 5% interest rate (compounded...
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