The present value price of a car you would like to purchase today is $17,990. You are approved for a 60 month (5-year) loan at 3.5% compounded monthly with no money down What is your monthly car payment? Roundyour answer to the nearest cent (i.e. 2 decimal places)

Q: For the car loan described, give the following information. A car dealer will sell you the $30,950…

A: The annual interest rate that is charged by the lenders or at which the investors earn additional…

Q: You are financing a car worth $29039.30 including tax. The interest rate is 10.8% compounded daily.…

A: Loan amount (L) = $29039.30 - $1700 = $27339.30 Interest rate = 10.8% daily compounding (m = 365) n…

Q: 1. You are making car payments of $315/month for the next 3 years, you know that your car loan has…

A: In order to finance the purchase of an asset individual can take loan from the bank and repay the…

Q: For the car loan described, give the following information. A car dealer will sell you the $30,750…

A: Hi There, thanks for posting the question. But as per Q&A guidelines, we must answer the first…

Q: You want to borrow $64,000 from your local bank to buy a new sailboat. You can afford to make…

A: The amount to be borrowed is $64,000 The monthly payment that can be afforded is $1,100 The time…

Q: What monthly payment will be required for the individual to make if the car is financed over a…

A: Compound interest is the amount of interest paid on interest which will grow the interest on loans…

Q: You wish to buy a $25,000 car. The dealer offers you a 4-year loan with a 9 percent APR. What are…

A: Borrowings are the loans taken from banks or non-banking financial institutions, to meet its…

Q: you want to buy a car for $8300 with $360 monthly payments for 4 years, what is the annual interest…

A: Interest rate is the rate which the customer would have to pay on the periodic payment of the…

Q: For the car loan described, give the following information. A car dealer will sell you the $30,950…

A: In this problem we have to get interest rate from given data.

Q: You wish to buy a $10,000 dining room set.  The furniture store offers you a three-year loan with an…

A: Given information: Present value or principal value is $10,000 Number of years of loan is 3 Interest…

Q: You just bought a used car for $11,000 with no down payment using dealer financing at 4% APR…

A: Price of the Car is $11,000 APR is 4% compounded monthly Monthly payment is $300   To Find:- Time…

Q: You are looking to purchase a Tesla Model X sport utility vehicle. The price of the vehicle is…

A:

Q: eBook You want to buy a car, and a local bank will lend you $35,000. The loan will be fully…

A: Information Provided: Amount lend = $35,000 Term = 5 years (60 months) Nominal interest rate = 11%

Q: A car dealer offers to buy your car for $9,500 so that you can purchase a new one. If your monthly…

A: We use pv function in excel to calculate pv of payments

Q: You are considering a thirty-year home loan of $400,000. A prospective lender has quoted an APR of…

A: a. MONTHLY PAYMENT FORMULA: PMT = P×rn1-1+rn-mn=$400,000×3.75%121-1+3.75%12-30×12=$1852.46 answer:…

Q: You want to borrow $68,000 from your local bank to buy a new sailboat. You can afford to make…

A:

Q: you want to buy a 25000 car. the company is offering a 2% interest rate for 48 months.  what iwll…

A: Given, Cost of car = $25,000 Rate of interest = 2% p.a No. of months = 48

Q: If you want to buy a car, and you can afford a monthly payment of $425, how large of a loan can you…

A: Using excel PV function to get the loan amount

Q: You decide that you can spend 600 as a monthly payment for a new car. Your bank offers car loans at…

A: The amount that can be borrowed should equal the present value of future payments. This is based on…

Q: You need to borrow $80,000 to purchase a car. You qualify for a 7-year car loan that requires you to…

A: Borrowing = 80,000 Time Period = 7 years or 84 months Monthly Compounding Interest Rate = 2.28%/12 =…

Q: Suppose that you decide to buy a car for $31,635, including taxes and license fees. You saved $8000…

A: given, down payment = $8000 therefore loan amount = $31635 - $8000 = $23635 P=23635 R=7.59% N=12 T=3…

Q: A car can be purchased for 0% down for 60 months (in lieu of rebate). It has a sticker price of…

A: First let's define what is add on interest is Add on interest is a method of calculating the…

Q: You have saved $3,000 for a down payment on a new car. The largest monthly payment you can afford is…

A: Given data; down payment amount = $3000 monthly payment = $400 Annual interest rate = 12% number of…

Q: The present value price of a car you would like to purchase today is $17,990. . You are approved…

A: Ordinary annuity are the payments which are made at the end of the period.

Q: To buy a car, you borrow $28,000 with a term of five years at an APR of 7%. What is your monthly…

A: Loan amount (PV) = $ 28,000 APR = 7% Monthly interest rate (r) = 7%/12 = 0.583333333333333% Period =…

Q: You want to buy a new sports car from Muscle Motors for $79,000. The contract is in the form of a…

A: Price of a new sports car is $79,000 Time period is 48 months Interest rate is 7.3% To Find:…

Q: If a dealer offers you a car at $275 monthly payment for 5 years plus $5,000 down. If you can get a…

A: Loan is an agreement between lender and borrower. Lender agrees to provide funds t borrower at…

Q: For the car loan described, give the following information. A car dealer will sell you the $30,750…

A: Note: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question…

Q: You are making car payments of $315/month for the next 3 years, you know that your car loan has an…

A: Given details are : Monthly payment = $315 Time period = 3 Years Interest rate = 12.4% discounted…

Q: You want to buy a new car, but you can make an initial payment of only $1,300 and can afford monthly…

A: Monthly interest = APR /Number of months Monthly interest =  9%/12 Monthly interest = 0.75%

Q: You have saved $3,000 for a down payment on a new car. The largest monthly payment you can afford is…

A: Computation of the value of car:Hence, the value of car if financed for 48 months is $22,161.14 and…

Q: If a dealer offers you a car at $275 monthly payment for 5 years plus $5,000 down. If you can get a…

A: “Hey, since there are multiple questions posted, we will answer first question. If you want any…

Q: For the car loan described, give the following information. A car dealer will sell you the $30,750…

A: Hi There, thanks for posting the question. But as per Q&A guidelines, we must answer the first…

Q: You buy a new truck for your trailer that costs $55,000. What are your monthly payments for a 5 year…

A: Equated monthly installments are equal installments that involve both principal and interest…

Q: Suppose that you borrow $10,000 for four years at 8% toward the purchase of a car. Use PMT to find…

A: given, p = 10000 n = 12 r =8% t= 4 pmt=p×rn1-1+rn-nt=10000×8%121-1+8%12-12×4=$244.14 MONTHLY PAYMENT…

Q: You are interested in buying a brand new jalopy and expect the purchase price to be $19,000. The car…

A: Purchase Price = $19,000Down Payment = $1,000 Calculation of Loan Amount (PV):

Q: Suppose that you decide to borrow 13000 for a new car. You can select one of the following loans…

A: With the given information, we need to find the monthly payments and total interest for each of the…

Q: What is your monthly payment if you choose 0% financing for 48 months?  $                     .…

A: Mortgage amortization refers to a schedule which is prepared to shows the periodic loan payments,…

Q: The price of a new car is $20000. Assume that an individual makes a down payment of 25% toward the…

A: Price of car=$20,000 Down payment=25%=$5,000 Amount financed=$15,000 Interest rate=4.2% p.a.…

Q: Suppose you purchase an automobile for a selling price of $1,600,000.  You make a down payment of 5%…

A: The total cost of an automobile includes the selling price of an automobile, sales tax, and license…

Q: P Suppose that you borrow $14,000 for four years at 5% toward the purchase of a car. Use PMT = to…

A: PMT = P * (r/n) / 1-[(1+r/n)]^-nt where, P = amount borrowed i.e. $14000 r = rate of interest i.e.…

Q: You need a home loan of $65,000 after your down payment. How much will your monthly house payment be…

A: FORMULA Monthly payment = LV/[1-(1+R)-N]/R Where LV - Loan amount i.e. $65000 R - Monthly interest…

Q: Suppose that you decide to purchase a new car. You go to a credit union to get preapproval for your…

A: According to the time value of money concept, the value of the amount of money in the future is less…

Q: You want to buy a new sports car from Muscle Motors for $87,000. The contract is in the form of a…

A: Here, To Find: Monthly payment =?

Q: If you are financing a new car with a loan that requires 15% interest compounded monthly over a 4…

A: Present value of annuity concept is required to use in this case. Present value of annuity is the…

Loans

A loan is a term that we are all familiar with. The processing of loans is one of the most important functions of a bank. It keeps our economy stable and facilitates the implementation of monetary policies. Let's take a look at the different forms of loans and get some answers to some common questions.