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You are a financial investigator for the SEC. You discover a few pieces of information regarding a loan taken out by a suspect in a fraud case. The loan was to be repaid with level annual payments of 3,576.71. Also, the Outstanding Balance at time 0 was 24,000 and the Outstanding Balance at time 1 was 22,343.29 3. in order to help convict the suspect, you need to find a the interest rate on the loan b. the total dollar amount of interest paid over the life of the loan

7. You are planning to buy a new 2019 Audi Q7 for $50,000, intending to finance the full cost. While negotiating the purchase, you consider two financing options: Option 1 charges an annual effective interest rate of 12%, with a single payment due at the end of S years comprising the principal and accumulated interest. . Option 2 charges an annual effective interest rate of 10%, and provides for level annual principal payments beginning one year after purchase over the 5 year loan term Find the total amount of interest that you would pay under each of the two financing options

6. A homebuyer borrows 400,000 to be repaid over a 20 year period with level monthly payments beginning one month after the loan is made. The interest rate on the loan is a nommal annual rate of 12% convertible monthly. Find a the monthly payment b the total principal paid on the loan over 20 years the total interest paid on the loan over 20 years d the loan balance after 15 years e the total principal paid on the loan over the first 15 years f the total interest paid on the loan over the first 15 years



please provide answers to ALL 3 questions.

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Answer #1

Calculate the interest rate and amount of interest paid as follows:

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Formulas:

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