2) A loan of $50,000 is taken out today at 13 % compounded quarterly and will be repaid over 6 years with end of month payments. How large will those payments be to fully repay the loan?
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- If Bergen Air Systems takes out a $100,000 loan, with eight equal principal payments due over the next eight years, how much will be accounted for as a current portion of a noncurrent note payable each year?You want to invest $8,000 at an annual Interest rate of 8% that compounds annually for 12 years. Which table will help you determine the value of your account at the end of 12 years? A. future value of one dollar ($1) B. present value of one dollar ($1) C. future value of an ordinary annuity D. present value of an ordinary annuityA loan of $11,300 is to be amortized with quarterly payments over 6 years. If the interest on the loan is 16% per year, paid on the unpaid balance, answer the following questions. a. What is the interest rate charged each quarter on the unpaid balance? b. How many payments are made to repay the loan? c. What payment is required quarterly to amortize the loan? a. The interest rate each quarter is %. b. There will need to be payments made. c. The quarterly payment needs to be S (Round to the nearest cent as needed.)
- What annual interest rate paid for if: a) Payment of $5,000 per year for 6 years will repay an original loan of $25,000? b) Thirty-six monthly deposits of $100 will result in $4,500 at the end of three years? What is the effective interest rate for this case?How large must each annual payment be if the loan is for $50, 000? Assume that the interest rate remains at 10% and that the loan is still paid off over 5 years.1. A loan of $2000 taken out today is to be repaid by a payment of $1200 in six months and a final payment of $1000. If interest is 10% compounded monthly, when should the final payment be made?
- 1.What are the annual payments for a 4-year $4,000 loan if the interest rate is 9% per year? Make up a loan amortization schedule4. You borrow $720,000 at 4.00% per year compounded monthly and you plan to pay off this loan in equal annual payments starting one year after the loan is made over a period of fifteen (15) years. What are the annual end-of-year payments? Determine the amount of interest and principal that are paid each year. What is the total interest paid for the loan? a. b. Restructure the loan in the previous question to make payments monthly. Determine the savings in interest overall. C. Restructure your payment schedule once more to make payment every two weeks. Determine the savings in interest (if any) in this case (compare to both previous repayment options). 1 OF 1A loan of $8000 will be discharged by a cash payment of $3200 now; $1800 at the end of 4 years; $600 at the end of 6 years, and the last payment at the end of 7 years. If money is worth 4% compounded annually, what is the size of the last payment?
- What is the size of 8 equal annual payments to repay a loan of $1,000? The first payment is due one year after receiving the loan? The interest rate is 10% per year. Hint: The constant amount or payment (PMT) per interest period is calculated by usingA loan of $10200 is to be amortized with quarterly payments over five years. The interest on the loan is 7.5% per year, paid on the unpaid balance. What is the payment to pay off the loan?A loan of $10, 000 today is to be repaid by annual payments of $800 to commence one year from now and continue thereafter for as long as necessary. The effective rate of interest is 6%. Compute the amount of the final payment if it is to be larger than the regular payments.
