You receive a 4-year $13,000 negative amortization loan with an interest rate of 10% p.a., to be repaid in four annual installments. The loan requires that you make total payments of $400 at t = 1, $100 at t = 2, and $300 at t = 3, with the remaining loan balance paid at maturity. What is the total payment amount at t = 4, rounded to the nearest dollar?
Calculating Amount to be paid in Year 4,
13,000 = 400/(1.10) + 100/(1.10)2 + 300/(1.10)3 + C4/(1.10)4
C4 = $18,049.90
Amount paid in Year 4 = $18,049.90
You receive a 4-year $13,000 negative amortization loan with an interest rate of 10% p.a., to...
You receive a 4-year $23,000 loan with an interest rate of 8% p.a., to be repaid in four annual installments. The loan requires that you make total payments of $6,000 at t= 1, $2,000 at t = 2, and $3,000 at t = 3, with the remaining loan balance paid at maturity. What is the total payment amount at t = 4, rounded to the nearest dollar?
You receive a $16,000 5-year constant amortization loan (CAL). The loan's annual interest rate is 10%. What is the total payment in year 4, rounded to the nearest dollar?
2 Q008 Negative Amortization a. Negative amortization occurs when the principal balance on a occurs when the principal balance on a loan (usually a mortgage) increases because the borrower's payments don't cover the total amount of interest that has accrued. des to purchase a house that costs $199.500. The bank requires a 10% downpayment and will provide a 15 year mortgage at a annual interest rate of 6%. The bank tells Mary that her monthly mortgage payments will be $1,510.14...
3. A company borrowed $13,000 paying interest at 8% compounded quarterly. If the loan is repaid by payments of $1800 made at the end of each 3 months, construct a partial amortization schedule showing the last three payments, the total paid, and the total interest paid. Complete the table below for the last three payments. (Do not round until the final answer. Then round to the nearest cent as needed.) Payment Outstanding Number Amount Paid Interest Paid Principal Repaid Principal...
Prepare an amortization schedule for a three-year loan of $15,000. The interest rate is 10 percent per year and the loan calls for equal annual end-of-year payments (Enter rounded answers as directed, but do not use rounded numbers in intermediate calculations. Round your answers to 2 decimal places (e.g., 32.16). Leave no cells blank. You must enter '0' for the answer to grade correctly) Beginning Balance Total Interest Principal Payment Ending Balance Year Payment Payment 1 S 2 3
QUESTION 4 You are given two loans, with each loan to be repaid by a single payment in the future. Each payment includes both principal and interest. The first loan is repaid by a 3000 payment at the end of four years. The interest is accrued at an annual nominal rate of discount equal to 5% compounded semiannually. The second loan is repaid by a 4000 payment at the end of five years. The interest is accrued at an annual...
M10-18 (Supplement 10D) Interpreting an Amortization Schedule (LO 10-14) The following amortization schedule indicates the interest and principal that Chip's Cookie Corporation (CCC) must repay on an installment note established January 1, 2018. CCC has a December 31 year-end and makes the required annual payments on December 31. Beginning Note Year Payable 13,000 10,199 7,118 3,729 Total Repaid Interest Principal on Expense Note Payable 1,300 2,801 3,081 712 3, 389 3,729 13,000 Ending Note Payable 10,199 7.118 3.729 1,020 3,405...
Loan amortization schedule Personal Finance Problem Joan Messineo borrowed $46,000 at a 4% annual rate of interest to be repaid over 3 years. The loan is amortized into three equal, annual end-of-year payments Calculate the annual end of year loan payment b. Prepare a loan amortization schedule showing the interest and principal breakdown of each of the three loan payments. c. Explain why the interest portion of each payment declines with the passage of time. a. The amount of the...
L You will only receive credit on the shels labell your You th or complete photocopy). You may Mathematics Map the origin them which you w ch You otherwiecie 3 Q008 Negative Amortization Negative amortization occurs when the principal balance on a loan (usually a morte) increases because the borrower's payments don't cover the total amount of interest that has accrued. Thomas decides to purchase a house that costs $294,000. The bank requires a 10% downpayment and will provide a...
You receive a 10-year unsubsidized student loan of $17,000 at an annual interest rate of 6.6%. What are your monthly loan payments for this loan after you graduate in 4 years? (Round your answer to the nearest cent.)