Question

17. A company pays off a loan of $1.600.000 by paving the same amount at the end of each year for 20 years. The annual intere
0 0
Add a comment Improve this question Transcribed image text
Answer #1

I fornubare for EMI = [XR. CHRja A [Clarin_1] Here P= 1,600,000 R = 0.033 N = 20 EMIS (11600,ood ] Coo33] (1003320 [[ 14.203²present worth value - = - fixed cost- maintance cost (P/A, 84,5) tsekage vekie (PLF 1 84,5) =-6000 - zio ( (titrl+ 2300 (tijР. Геоо ја 0.o6 -Зуел A= (Hijre Со ов)° C loos ) - Х1190 рhѕ7) 3 —I fornubare for EMI = [XR. CHRja A [Clarin_1] Here P= 1,600,000 R = 0.033 N = 20 EMIS (11600,ood ] Coo33] (1003320 [[ 14.203²

Add a comment
Know the answer?
Add Answer to:
17. A company pays off a loan of $1.600.000 by paving the same amount at the...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • please help.. Problem 1 For the following table (a) Draw the cash flow diagram Receipts Year...

    please help.. Problem 1 For the following table (a) Draw the cash flow diagram Receipts Year 0 1 2 Disbursements $50,000 $15,000 $15,000 2 S5.000 System Initial Costs Produced Products Produced Products Preventive Maintance Produced Products Corrective Maintance Produced Products Preventive Maintance Produced Products Salvage value $15,000 $15,000 $15,000 $5,000 4 5 5 6 $15,000 $25,000 Problem 2 $1000 is deposited in a savinga account that pays 6% annual interest, and no money is withdrawn for three years. Most nearly,...

  • answer all questions please 15. A company is considering buying a computer with the following costs...

    answer all questions please 15. A company is considering buying a computer with the following costs and interest rate. initial cost $3900 salvage value $1800 useful life 10 years annual maintenance $390 interest rate 69 Most nearly, what is the equivalent uniform annual cost (EUAC) of the computer? (A) $740 (B) $780 (C) $820 (D) $850 20. An engineer is evaluating two options for distribut- ing products from a production facility: renting or own ing trucks. The effective annual interest...

  • Loan amount $1.6 Million. Loan duration 20 years. Annual Interest Rate 3.3% The company pays the...

    Loan amount $1.6 Million. Loan duration 20 years. Annual Interest Rate 3.3% The company pays the same amount at the end of each year for 20 years. What is the amount of the yearly payment?

  • A firm is planning to upgrade its computer network. The upgrade has an estimated cost of...

    A firm is planning to upgrade its computer network. The upgrade has an estimated cost of $25,000. The upgrade will result in less downtime and higher productivity, with an estimated savings of $10,000 per year. The equipment will remain productive for the next 5 yr, the annual maintenance cost is S2000, and the equipment will have no salvage value after the 5 yr. Assuming an interest rate of 6%, the uniform annual benefit (UAB) is most nearly (A) $1,100 (B)...

  • A certain savings and loan company advertises that is pays 6% nominal interest, compounded quarterly. What...

    A certain savings and loan company advertises that is pays 6% nominal interest, compounded quarterly. What is the effective interest rate per annum? If you deposit $6000 now and plan to withdraw it in five years, how much would the account be worth at that time?  (Hint: to find the effective interest rate, use the formula: (1 + r/M)M-1.)

  • A linear gradient payment series is where a borrower pays back a loan over Nyears with...

    A linear gradient payment series is where a borrower pays back a loan over Nyears with a increase of each payment period So, at the end of year 1, the borrower pays 0 (OG) At the end of year 2, the borrower pays 0+G(16) At the end of year 3, the borrower pays G+G(26) The present worth of the payment series (principal) can be given be the equation e-c (1+1)N-IN-1) (1+1)" You could also find a factor to replace the...

  • 12) AB Co stock pays a constant annual dividend, sells for $56.07 a share, and has...

    12) AB Co stock pays a constant annual dividend, sells for $56.07 a share, and has a market rate of return of 12.2 percent. What is the amount of the next annual dividend? B) $6.84 A) $6.21 C) $5.67 E) $7.30 D) $5.94 13) 13) Dexter Mills issued 20-year bonds one year ago at a coupon rate of 10.2 percent. The bonds make semiannual payments and have a par value of $1,000. If the YTM is 8.2 percent, what is...

  • 12) AB Co stock pays a constant annual dividend, sells for $56.07 a share, and has...

    12) AB Co stock pays a constant annual dividend, sells for $56.07 a share, and has a market rate of return of 12.2 percent. What is the amount of the next annual dividend? B) $6.84 A) $6.21 C) $5.67 E) $7.30 D) $5.94 13) 13) Dexter Mills issued 20-year bonds one year ago at a coupon rate of 10.2 percent. The bonds make semiannual payments and have a par value of $1,000. If the YTM is 8.2 percent, what is...

  • 12) 12) AB Co. stock pays a constant anual dividend sells for $56.07 a share, and has a market rate of return of 12...

    12) 12) AB Co. stock pays a constant anual dividend sells for $56.07 a share, and has a market rate of return of 12.2 percent. What is the amount of the next annual dividend? A) $6.21 B) 56.84 C) 55.67 D) $5.94 E) $7.30 13) 15) Dexter Mills issued 20-year bonds one year ago at a coupon rate of 10.2 percent. The bonds make semiannual payments and have a par value of $1,000. If the YTM is 8.2 percent, what...

  • Kermit is considering purchasing a new computer system. The purchase price is $104403. Kermit will borrow...

    Kermit is considering purchasing a new computer system. The purchase price is $104403. Kermit will borrow one-fourth of the purchase price from a bank at 10 percent per year compounded annually. The loan is to be repaid using equal annual payments over a 3-year period. The computer system is expected to last 5 years and has a salvage value of $6409 at that time. Over the 5-year period, Kermit expects to pay a technician $20,000 per year to maintain the...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT