$5,000 are borrowed now with the understanding that it will be repaid in equal monthly payments over 24 months

$5,000 are borrowed now with the understanding that it will be repaid in equal monthly payments over 24 months, if the interest rate is 1% per month, for payment number 6 find the amount that is due to principal? Your answer might be exact or to the closest.

a. $833.33

b. $194.83

c. -540.54

d. $40.54

Solutions

Expert Solution

jeff jeffy answered 2 years ago

Next > < Previous

Related Solutions

a) A loan of $5,000 is to be repaid in equal monthly payments over the next...

a) A loan of $5,000 is to be repaid in equal monthly payments over the next 2 years. Determine the payment amount if interest is charged at a nominal annual rate of 15% compounded semiannually. b) Net receipts from a continuously producing oil well add up to $120,000 over 1 year. What is the present amount of the well if it maintains steady output until it runs dry in 8 years if r = 10% compounded continuously?

Create AS for a $250,000 M to be repaid in equal monthly payments at the end...

Create AS for a $250,000 M to be repaid in equal monthly payments at the end of each month for the next 15 years. AIR=5% compounded monthly. AS= amortization schedule, M=mortgage, AIR = annual interest rate b. How large must each MP be if the loan is for $350,000? IR stays at 5% and that the loan is paid off over 15 years. MP=monthly payment, IR = interest rate c. How large must each payment be if the loan is...

A $10,000 loan is to be repaid in monthly equal payments in 10 years with an...

A $10,000 loan is to be repaid in monthly equal payments in 10 years with an annual effective interest rate of 19.56% charged against the unpaid balance. What principal remains to be paid after the third payment?

Dan borrowed $19,180. The loan is to be repaid by three equal payments due in 89,...

Dan borrowed $19,180. The loan is to be repaid by three equal payments due in 89, 120, and 291 days from now respectively. Determine the size of the equal payments at an interest rate of 10% with a focal date of today. The size of the equal payments is $___ (Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.)

A company borrowed $500,000 and repaid the loan through yearly payments of $20,000 for 24 years...

A company borrowed $500,000 and repaid the loan through yearly payments of $20,000 for 24 years plus a single lump-sum payment of $1,000,000 million at the end of 24 years. The interest rate on the loan was closest to: 6% per year 4% per year 0.5% per year 8% per year The following five alternatives that are evaluated by the rate of return method, If the alternatives are mutually exclusive and the MARR is 15% per year, the alternative to...

$5000 is borrowed, to be repaid in three equal, annual payments with 10% interest. Approximately how...

$5000 is borrowed, to be repaid in three equal, annual payments with 10% interest. Approximately how much principal is amortized with the second payment? $2,010.57 $1,510.57 $900.68 $1,661.63 include calculations please

1. A loan is usually repaid in _( Equal OR Unequal )____ payments over a set...

1. A loan is usually repaid in _( Equal OR Unequal )____ payments over a set period of time. 2. Credit cards allow ( One-time OR Repeated )___ use of credit as long as regular _( Monthly OR Annual )_______ payments are made. 3. Your personal financial success depends on your ability to make the sacrifices necessary to ___( Earn OR Spend )___ less than you _( Earn OR Spend )___________ .This means that you should use credit wisely, use credit only...

Suppose that a loan is being repaid with 60 equal monthly payments, the first coming a...

Suppose that a loan is being repaid with 60 equal monthly payments, the first coming a month after the loan is made. If the rate of interest is 9.7 percent convertible monthly, and the amount of principal in the 22nd payment is 260, how much interest is in the 44th payment?

The Company borrowed $170,000 at 9.60% to be repaid monthly over 15 years. They just remitted...

The Company borrowed $170,000 at 9.60% to be repaid monthly over 15 years. They just remitted payment number 78. 21. How much total interest is scheduled to be paid over the life of the loan? a. $183,172 b. $201,489 c. $137,620 d. $151,382 e. $166,520 22. How much of the payment just remitted is interest? a. $1,464 b. $1,100 c. $1,331 d. $1,000 e. $1,210

An auto repair shop borrowed $15,000 to be repaid by quarterly payments over 4 years. Interest...

An auto repair shop borrowed $15,000 to be repaid by quarterly payments over 4 years. Interest on the loan is 3% compounded quarterly. (a) What is the size of the periodic payment? (b) What is the outstanding principal after payment 10? (c) What is the interest paid on payment 11? (d) How much principal is repaid in payment 11? Could you please show full steps as i want to use this as a learning tool.

Subjects