ZuoTi.Pro
Question

Karen and Wayne need to buy a refrigerator because theirs just broke. Unfortunately, their savings account is depleted, and they will need to borrow money in order to buy a new one. Sears offers them an installment loan at 14% (add-on rate). If the refrigerator at Sears costs $1,538 plus 5% sales tax, and Karen and Wayne plan to pay for the refrigerator for 3 years, what is the monthly payment? (Round your answer to the nearest cent.)
1. Smith NM13 11.2.059. Karen and Wayne need to buy a refrigerator because theirs just broke. Unfortunately, their savings ac
business   finance   
0 0
Add a comment Improve this question Transcribed image text
Next > < Previous
Sort answers by oldest

Homework Answers

Answer #1

We see that the monthly payment is given as equal to
=1538*1.05*(1+14%*3)/(12*3)
=63.6988333

0 0
Add a comment
Know the answer?
Add Answer to:
Karen and Wayne need to buy a refrigerator because theirs just broke. Unfortunately, their savings account...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

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

  • 1)The medical office purchased new computers at a cost of $1,855 at 14% add-on interest for...

    1)The medical office purchased new computers at a cost of $1,855 at 14% add-on interest for 2 years. Find the APR (rounded to the nearest tenth of a percent) for the loan. ( 2) Karen and Wayne need to buy a refrigerator because theirs just broke. Unfortunately, their savings account is depleted, and they will need to borrow money in order to buy a new one. Sears offers them an installment loan at 14% (add-on rate). If the refrigerator at...

  • 1)The thief grabbed the cell phone and ran at 6 meters per second straight down Ocean...

    1)The thief grabbed the cell phone and ran at 6 meters per second straight down Ocean Street. When he was 120 meters down the street a police officer took off after him from the scene of the crime. The officer chased at the rate of 9 meters per second. How long will it take for the officer to catch the thief? 2)If $18,000 is invested at 5% for 6 years, find the future value if the interest is compounded daily....

  • 39) You just received a loan from your banker to buy seed and plant your com...

    39) You just received a loan from your banker to buy seed and plant your com field. The loan is a discount loan and is for $5,000 for 1 year and the quoted rate was 10 percent. What is your APR? 39) с 14.33% 12.23% D) 10.00% none of the above Your brother, a banker, has just approved a loan for you, an add-on interest loan. You will 40) borrow $2,000 for one year with a 12 percent annual interest...

  • 23. need proper working Y ound to nearest $1), $570 D) $900 ZZ) If you put $10 in a savings account at the beginning...

    23. need proper working Y ound to nearest $1), $570 D) $900 ZZ) If you put $10 in a savings account at the beginning of each month for 15 years, how much money will be in the account at the end of the 10th year? Assume that the account earns12% compounded monthly and round to the nearest $1. X2 12 A) $1,200 B) $2,323 C) $5,046 D) $3,485 23) You have contracted to buy a house for $250,000, paying $30,000...

  • Unfortunately this is my second time uploading this because instructions were not read properly. I need...

    Unfortunately this is my second time uploading this because instructions were not read properly. I need full excel formulas for each answer. for example: PV(.085,5000,8,1000.0) this is required for each answer. There are 6 in this one multi part question. Thank you... We were unable to transcribe this imageExcel File Edit View Insert Format Tools Data Window Hel 0书20% Tue 11:31 PM a 385excel project.xlsx fou A 100% QSearch in Sheet A Home Layout Tables Charts SmartArt Formulas Data Review...

  • Need help, please show work for solutions. 1.) An investor just invested $10,000 in an investment that is expected to ea...

    Need help, please show work for solutions. 1.) An investor just invested $10,000 in an investment that is expected to earn a 6% interest rate. Assuming the 6% annual return is realized, what will be the value of the investment at the end of 25 years? 2.) If you deposit $45,000 into a 5-year CD today earning 4% interest compounded quarterly, what would be the account balance be at the end of 5 years? 3.) A 22-year old college student...

  • 3. You want to buy a car, and a local bank will lend you $20,000. The...

    3. You want to buy a car, and a local bank will lend you $20,000. The loan would be fully amortized over 3 years (36 months), and the nominal interest rate would be 12%, with interest paid monthly. What is the monthly loan payment? Round your answer to the nearest cent. $    What is the loan's EFF%? Round your answer to two decimal places.   % 4. Find the present values of the following cash flow streams. The appropriate interest rate...

  • 1. You have $49,061.69 in a brokerage account, and you plan to deposit an additional $5,000...

    1. You have $49,061.69 in a brokerage account, and you plan to deposit an additional $5,000 at the end of every future year until your account totals $200,000. You expect to earn 9.1% annually on the account. How many years will it take to reach your goal? Round your answer to the nearest whole number. 2. Present and Future Value of an Uneven Cash Flow Stream An investment will pay $100 at the end of each of the next 3...

  • please answer all in full 1. On your 1st birthday, you received a $10 savings account...

    please answer all in full 1. On your 1st birthday, you received a $10 savings account earning 6% annually. How much will you have in the account on your 30th birthday if you don't withdraw any money before then? 2. Your partner just promised to you that he/she will give you a graduation gift by paying half of of a new car when you receive an MBA degree in 2 years. Suppose that you also have $9,000 to invest today...

  • Your flight and hotel stay total $2,500, and you figure by the time you add in...

    Your flight and hotel stay total $2,500, and you figure by the time you add in all of the extra side trips, tickets, meals, and foam fingers you buy at the baseball game, you’re in for at least another $1,000, bringing your vacation budget to $3,500. However, this isn’t “The Price Is Right” (more on that later) and you have saved up $3,000 in your vacation budget to enjoy this somewhat lavish trip to one of the oldest cities in...

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