12) A so-called friend has offered to loan you $1,000 for one year. At the end of the year you must pay your friend $2,000. What is the APR on this loan if interest is compounded daily?
A) 50.00% B) 100.00%C) 69.38%D) 96.30% E) 81.33%
12) A so-called friend has offered to loan you $1,000 for one year. At the end...
Question 18 1 pts Your brother has offered to loan you $500 for two years. At the end of the year you must repay him $1,300. What is the effective interest rate on this loan if interest is compounded daily? 61.25% 53.66% 80.00% 47.81% 58.50%
12. You have loaned $1,000 to a friend whom you consider a good credit risk at a nominal interest rate at 12% compounded monthly. The loan period is 1 year. You plan to take each monthly installment received from your friend and invest it on the day received in a savings account that pays you interest at the nominal rate of 6% compounded monthly. What nominal interest rate are you receiving on the total return from the loan plus the...
To borrow $1,450, you are offered an add on interest loan at 8.5 percent with 12 monthly payments. Compute the 12 equal payments. (Round your answer to 2 decimal places.) Equal payments Use the amount you borrowed and the monthly payments you computed to calculate the APR of the loan. Then, use that APR to compute the EAR of the loan. (Do not round intermediate calculations and round your answer to 2 decimal places,) % EAR To borrow $1,450, you...
a friend who owes you money has offered to pay you back by
making either one lump sum payment today or payments of 5000 in one
year, 7500 in two years, and 10000 in three years. assume the
discount rate is 5%.
A friend who owes you money has offered to pay you back by making either one lump sum payment today or payments of $5,000 in one year, $7,500 in two years, and $10,000 in three years. Assume the...
To borrow $950, you are offered an add on interest loan at 9.5 percent with 12 monthly payments. Compute the 12 equal payments. (Round your answer to 2 decimal places.) Find Equal Payments $ Use the amount you borrowed and the monthly payments you computed to calculate the APR of the loan. Then, use that APR to compute the EAR of the loan. (Do not round intermediate calculations and round your answer to 2 decimal places.) Find EAR %
To borrow $2,300. you are offered an add-on interest loan at 10.3 percent with 12 monthly payments. Compute the 12 equal payments. (Round your answer to 2 decimal places.) Use the amount you borrowed and the monthly payments you computed to calculate the APR of the loan. Then, use that APR to compute the EAR of the loan. (Do not round intermediate calculations and round your final answer to 2 decimal places.)
A loan shark has offered to loan you $375,200.00 today so that you can afford the house of your dreams. The only catch is that he wants you to repay him $619,400.00 exactly 4.00 years from today. You are very tempted as you want the house really badly. What is the rate of interest on the Shark’s loan?
A loan shark has offered to loan you $311,600.00 today so that you can afford the house of your dreams. The only catch is that he wants you to repay him $574,800.00 exactly 5.00 years from today. You are very tempted as you want the house really badly. What is the rate of interest on the Shark’s loan?
show work please
Borrowing $10 Per Month We continue with the same example: you borrow $10 per month from your friend. On each of these loans, your friend charges 30% Amount loan atthe year S10 Number ofowed on Loan amount Month months of interest end of thein interest per year, compounded monthly Determining the total amount that you owe at the end of one year will require a few steps $10 $10 $10 $10 $10 $10 $10 $10 $10 $10...
To borrow $3,700, you are offered an add-on interest loan at 9.3 percent with 12 monthly payments. Compute the 12 equal payments. (Round your answer to 2 decimal places.) Equal payment Use the amount you borrowed and the monthly payments you computed to calculate the APR of the loan. Then, use that APR to compute the EAR of the loan. (Do not round intermediate calculations and round your final answer to 2 decimal places.) EAR %