Jack and Jill borrow $24,000 at 6.3% amoritzed over 5 years to drill a well and...

Jack and Jill borrow $24,000 at 6.3% amoritzed over 5 years to drill a well and renovate their kitchen and bathrooms. Assuming that the monthly principal and interest payments are made as agreed, what is the loan balance at the end of 3 years?

Please include instructions on how to do this with BAII PLUS calculator if possible.

Expert Solution

Calculator
Inputs:
FV	-
PV	24,000.00
Rate (I/Y) per period	0.5250%
Term N payments	60

Output:
PMT	($467.34)

Loan balance with 2 years to maturity:

Calculator
Inputs:
FV	-
PMT	$467.34
Rate (I/Y)	0.525%
Term N	24.00

Output:
PV	10,512.49

Answer is:

10,512.49

please rate.

jeff jeffy answered 1 year ago

Jack and Jill are 41 years old and plan on retiring at age 65 and expect...

Jack and Jill are 41 years old and plan on retiring at age 65 and expect to live until age 95. Theycurrently earn $200,000 and expect to need $100,000 in retirement. They also expect that SocialSecurity will provide $24,000 of benefits in today’s dollars at age 65. They are saving $20,000 each intheir 401(k) plans and IRAs. Their son, Parker, is expected to go to college in 10 years. They want tosave for Parker’s college education, which they expect will...

On August 1, 2019, Jill borrowed $90,000 at 5% from Jack and agreed to make annual...

On August 1, 2019, Jill borrowed $90,000 at 5% from Jack and agreed to make annual payments of $20,788 for 5 years. Complete the amortization table below. Round all calculations to the nearest dollar. Prepare all necessary journal entries to record the receipt of funds, adjusting entries at year end and the first payment. Beginning Principal Balance Payment Interest Principal Reduction Ending Principal Balance 20X1 90,000 20,788 4,500 16,288 73,712 20X2 56,610 20X3 ...

If you borrow $26,000 with monthly payments of $550 over 5 years, what annual rate are...

If you borrow $26,000 with monthly payments of $550 over 5 years, what annual rate are you paying? A. 8.18% B. 8.41% C. 9.81% D. 8.51%

5) Turkish subsidiary of an US company wants to borrow TL500 mn for 5-years for factory...

5) Turkish subsidiary of an US company wants to borrow TL500 mn for 5-years for factory capacity expansion investment. Annual interest rate on a 5-year loan for 5 years is 10% in TL and 5% in USD. Spot rate of USDTL is 7 and TL is expected to appreciate by 5% each year in the next five years. Compare and decide which debt denomination is better (US$ or TL).

1.Jack borrows $18,000 to be repaid in 3 equal year-end amounts over 3 years. If the...

1.Jack borrows $18,000 to be repaid in 3 equal year-end amounts over 3 years. If the interest rate is 11.9% per annum compounded quarterly, Jack’s annual repayment is (rounded to nearest dollar; don’t include the $ sign or commas): 2.Jack needs $4900 in 6 years from today to buy a holiday. He invests $2700 today. Find the effective annual rate of interest that Jack needs to earn on this amount (as a %, 2 decimal places) in order to reach...

Suppose you borrow $ 20,000 at a 9% monthly compound, for 5 years. Knowing that 9%...

Suppose you borrow $ 20,000 at a 9% monthly compound, for 5 years. Knowing that 9% represents the market interest rate, the monthly payment cn current dollars It will be $ 415. 17. If the average monthly general inflation rate is expected to be 0.5%, what will be the annual equivalent of monthly payments equal cn constant dollars?

Assume that you borrow $15,000 for five years (annual payments) at a market rate of 5%....

Assume that you borrow $15,000 for five years (annual payments) at a market rate of 5%. Assuming that inflation is 3.5%, what would the equivalent equal annual payment be in constant dollars?

1) Today you borrow 12,000 for 5 years. The bank lends you this money with an...

1) Today you borrow 12,000 for 5 years. The bank lends you this money with an interest rate of 7%. What would be the interest expense each year on this fully amortized loan? 2) You are in the leasing business and have 20,000 asset to lease. If you require a 12% return on your asset, and the lease term is 9 years, how much would the lease payment be at the beginning of each year?

If you borrow $20,000, you have to repay in equal instalments over four years. Interest Rate...

If you borrow $20,000, you have to repay in equal instalments over four years. Interest Rate is 9%. What is the interest payment in the fourth year, 14. a) 1499 b)1171 c)510 d)977 e)1406 f)814

You borrow $21000 from a lender at 3.4% interest over a 5 year period. List two...

You borrow $21000 from a lender at 3.4% interest over a 5 year period. List two ways and calculate the results that demonstrate financial equivalence for this problem. How much will you pay over the life of the loan?

Question