Question

In: Finance

​You wish to buy a car worth $27,500. The terms of the loan call for a weekly payment for 6 years at 7.5 percent rate of interest.

You wish to buy a car worth $27,500. The terms of the loan call for a weekly payment for 6 years at 7.5 percent rate of interest. If you decide to go ahead in purchasing this car what will be the amount of each payment?




Solutions

Expert Solution

Dear Student
Please see the below calculation
Amount of car loan = 27500
Int Rate P. A = 7.50%
No of years] = 6
No of payment in a year = 52 Weeks
Weekly Payment Will be =      109.52

jeff jeffy answered 2 years ago
Next > < Previous

Related Solutions

The loan is for $150,000 with terms 6%, 30 years. The graduation rate is 7.5% and...
The loan is for $150,000 with terms 6%, 30 years. The graduation rate is 7.5% and occurs 3 times. Calculate the Monthly Payments and Loan Balances for years 1-4 by designing an Amortization Table:
You are borrowing $5,710 to buy a car. The terms of the loan call for monthly...
You are borrowing $5,710 to buy a car. The terms of the loan call for monthly payments for 5 years at a 6.50 percent interest compounded monthly. What is the amount of each payment?
You are borrowing $26,750 to buy a car. The terms of the loan call for monthly...
You are borrowing $26,750 to buy a car. The terms of the loan call for monthly payments for five years at 6.50 percent interest. What is the amount of each payment? A. $498.17 B. $504.97 C. $523.39 D. $533.93 E. $566.84
You took a loan to buy a new car. The monthly interest rate on the loan...
You took a loan to buy a new car. The monthly interest rate on the loan is 1.5% and you have to pay $240 every month for 60 months 1)What is the Present value of the Cash flows if its an ordinary annuity? 2)What is the future value of cash flows if its an ordinary annuity? 3)What is the present value of the cash flows if its an annuity due? 4)What is the future value of cash flows if its...
You took out a loan to buy a new car. The monthly interest rate on the...
You took out a loan to buy a new car. The monthly interest rate on the loan is 1%. You have to pay $270 every month for 60 months. Attempt 1/5 for 8 pts. Part 1 What is the present value of the cash flows if it's an ordinary annuity? Attempt 1/5 for 8 pts. Part 2 What is the future value of the cash flows if it's an ordinary annuity? Attempt 1/5 for 10 pts. Part 3 What is...
If you accept a car loan of $20,000 for 5 years at an interest rate of...
If you accept a car loan of $20,000 for 5 years at an interest rate of 3%, what is the monthly payment?
loan amount - 1,200,000. terms(years) - 15 interest rate - 3.125% payment frequency - monthly Amortizing...
loan amount - 1,200,000. terms(years) - 15 interest rate - 3.125% payment frequency - monthly Amortizing Loan Assignment
You want a bank loan in order to buy a car (with no down payment of...
You want a bank loan in order to buy a car (with no down payment of your own). You already own a house on which you pay $1,600 per month in mortgage payments, $300 per month in property taxes and $100 per month in utilities. Your gross family income is $80,000 per year. You have no other debts. The bank is willing to give you a loan which will be amortized over 5 years (i.e., 60 monthly payments). The interest...
Develop the payment table for a balloon payment loan $125,000 loan, 10 years, 10% interest rate,...
Develop the payment table for a balloon payment loan $125,000 loan, 10 years, 10% interest rate, balloon payment of $100,000 Year Total Payment Interest Paid Principal Paid Principal Remaining Balloon
You borrow $149000 to buy a house. The mortgage rate is 7.5% and the loan period...
You borrow $149000 to buy a house. The mortgage rate is 7.5% and the loan period is 30 years. Payments are made monthly. What is the monthly mortgage payment.
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT