Question 2 of 5 Laura was supposed to make a payment of $2,250 in 1 year and another payment for $1,900 in 6 years to Maroon Inc. as part of a payment plan. Instead, he is trying to reach an agreement with the company where he would settle both payments in 4 years. Assume that money is worth 3.38% compounded semi-annually. a. Calculate the equivalent value of the $2,250 payment and the $1,900 payment today.
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- Your bank offers to lend you $120, 000 at an 8.25% annual interest rate to start your new business. The terms require you to amortize the loan with 10 equal end-of-year payments. How much interest would you be paying in Year 2? a. $5,904.06. b. $8,487.08 0 c. $6,642.06• d. $7,011.07. e. $9224.685.1 Niles needs £650,000 to set up his business. Bank A is willing to lend him themoney under the following conditions: the loan is to be repaid in equal instalmentsat the end of each of the next ten years and the interest rate is 7%. Determine theinterest and principal components of the payments at the end of the third andeighth year. Explain the difference in the amounts of interest and principalpayment in the third year with corresponding figures for the eight year4. Castor borrowed today from ChuChu P100,000.00 and agreed to repay the loan with 3 equal monthly amounts, the first payment to start 1 month from today. How much is the value of the monthly payment? Construct an amortization schedule. Interest is 12 % compounded monthly.
- Question#3: A person borrowed JD50000, which will be repaid at 20 successive equal annual installments, at an annual interest rate of 14%. If he paid the first 12 installments on time, and he didn't paid the next three installments (13, 14, 15) on time, so as a penalty he have to pay the remaining amount in the period (16-20). Calculate the value of the new installment if he repaid the remaining amount in the dates they agreed upon.3. Don Magellan borrowed today from Ginoong Lapulapu P300,000.00 and agreed to repay the loan with 4 equal monthly amounts, the first payment to start 1 month from today. How much is the value of each equal monthly payment? Construct an amortization schedule. Use interest rate at 12% compounded semi-annually.3. Senyor Pigafetta borrowed today from Ginoong Lapulapu P300,000.00 and agreed to repay the loan with 4 equal monthly amounts, the first payment to start 1 month from today. How much is the value of each equal monthly payment? Construct an amortization schedule. Use interest rate at 12 % compounded monthly.
- Suppose you have $2,300 and plan to purchase a 10-year certificate of deposit (CD) that pays 10.4% interest, compounded annually. How much will you have when the CD matures? a. $2,539.20 O b. $6,896.80 O c. $6,186.12 O d. $6,339.32 e. $5,603.37 OQ1: What equal annual payment series is required to repay the following present amounts? Working need to be done on excel file $25,000 in 6 years at 3.0% interest compounded annually. $9,500 in 7 years at 7.0% interest compounded annually. $21,500 in 5 years at 12.0% interest compounded annually. $1,000 in 15 years at 6.0% interest compounded annually. Q2: you plan to withdraw the amounts given below over the next five years from a savings account that earns 9% interest compounded annually, how much do you need to deposit now? End of year 1 $0.00 Year 2 $24,000 Year 3 $14,000 Year 4 $26,000 Year 5 $42,000 Solve using excel fileYour bank offers to lend you $120,000 at an 6.5% annual interest rate to start your new business. The terms require you to amortize the loan with 10 equal end-of- year payments. How much interest would you be paying in Year 2? $16,692.56 O $19,068.53 O $10,428.81 O $18,161.67 O $17,254.82
- Question 2 You just signed a consulting contract that will provide annual consulting fees to you for the coming 5 years. The first payment would be made at the end of this year at $10,000. It is given that the appropriate discount rate is 5%. a) If the payment is constant at $10,000, and would be paid at the end of each year, what is the present value of the consulting contract? b) If the payment amount would be increased by 5% annually, and would be paid at the end of each year, what is the present value of the consulting contract?X-person has committed to a payment that needs to pay BD 80,000 every year at the end of each next eleven years. What will be the future amount of Ahmed if it were to instead settle the claim immediately with a single payment, with an interest rate of 6%?solve the problem showing cash flow, and final answer using a suitable formula.Question 3a) A man bought a car for 2.5m cedis in 2020. He paid 40% of the cost and paid the rest in equal monthly instalments. He took 8 years to make full payments for the car. Interest was charged at 18% simple interest. Calculate the monthly instalment. b) What is the present value of the annuities GH¢280 a year for 7 years discounted back to the present at c) The population of a town in 2002 was 48,560 and there were 790 recorded deaths in the period. By 2005, the town population had increased by 512 %. Calculate the number of expected deaths in 2005.