Your uncle will sell you his bicycle shop for $250,000, with "seller financing," at a 6.0% nominal annual rate. The terms of the loan would require you to make 12 equal end-of-month payments per year for 4 years, and then make an additional final (balloon) payment of $50,000 at the end of the last month. What would your equal monthly payments be? $4,029.37
$4,241.44
$4,464.67
$4,699.66
$4,947.01
Answers
Answer:
$4,947.01
Explanation:
In this question, we use the present value formula which is shown in the spreadsheet.
The NPER represents the time period.
Given that,
Future value = $50,000
Present value = $250,000
Rate of interest = 6% ÷ 12 months = 0.5 months
NPER = 4 years × 12 months = 48 months
The formula is shown below:
= PMT(Rate,NPER,PV,-FV,type)
The future value comes in negative
So, after solving this, the answer would be $4,947.01
Assuming you make an additional final (balloon) payment of $50,000 at the end of the last month, your monthly payments is:$4,947.01.
Monthly payment
Based on the given information we would make use of financial calculator to find the PMT by inputting the below data
PMT(Rate,NPER,PV,-FV,type)
Where:
Future value= $50,000
Present value= $250,000
Interest rate= 6%/12 = 0.5%
Nper= 4 years × 12= 48 months
Hence;
PMT=$4,947.01
Inconclusion your monthly payments is:$4,947.01.
Learn more about monthly payment here:your monthly payments is:$4,947.01.
Related Questions
Monday Island produces only potatoes and oranges. Complete the following sentence. The marginal cost of a potato is the number of oranges that ______ to get one more ______. A. must be forgone; potato B. must be forgone; orangeC. people are willing to forgo; potato D. people are willing to forgo; orange
The project sponsor has asked Franz to hold a kickoff meeting for their project. What is the purpose of a kickoff meeting?
1. How is inflation measured? Fill in the blanks to complete the passage about the CPI and the GDP deflator. The Consumer Price Index (CPI) and the GDP deflator are both price indices, so they both serve as measures of inflation. However, the CPI uses a smaller basket of goods. The GDP deflator aims to take into account all final goods and services, whereas the CPI only includes goods and services sold to –. So, for instance, prices on farm equipment are included in the – but not in the –.
A company has the following items on its year-end trial balance:Net sales $500‚000Common stock 100,000Insurance expense 75,000Wages 50,000Cost of goods sold 100,000Cash 40,000Accounts payable 25,000Interest payable 25,000What is the company's gross profit?A. $230‚000B. $500,000C. $400,000D. $275‚000
b. $3,600,000.
c. $9,300,000.
d. $15,300,000.
Answers
Answer:
b. $3,600,000.
Explanation:
The weighted average accumulated expenditure is given by the sum of each expenditure weighted by the distance between payment and the conclusion of the construction:
Weighted average accumulated expenditures were $3,600,000.
state government officials demand that the SEC should look into the financial dealings of all these organizations
B.
state government officials recruit auditors to review the financial records
C.
state government officials themselves audit these organizations
D.
state government officials review the audit performed by CPA firms for such organizations
Answers
The correct option is D. state government officials review the audit performed by CPA firms for such organizations
The following information should be considered:
- The state government officials should reviews the audit that should be performed by CPA firms for the organization.
- And it should be an extra regulatory measure for state authorities demand in the case when the state funds are distributed to the government or non-government organization.
Learn more: brainly.com/question/16911495
This is op's alt account its D
Answers
Answer:The answer is C
Explanation:
The financial market is a market where short term and long term loan can be obtained, it comprises of the money market and the capital market. The money market provides short term finance to lenders which lenders can use for up to two years before repayment. The money market consist of the commercial banks, Discount houses, merchant banks, finance companies. While the capital market provides long term loans to lenders which lenders can then use for more than two years before repayment. The capital market consist of issuing houses,insurance companies, mortgage bank,the stock exchange.
The simple market for loan able funds is made up of the surplus economic unit which comprises of the savers of funds,the investors as well as the purchaser or buyers of financial claims( assets) while the deficit economic unit is made up of issuers of financial claim and borrowers. This simple market for loan able funds works through process by which the participants in the market mobilized fund from the surplus economic unit to the deficit economic unit for the purpose of investment in the economy. When a borrower needed funds such borrowers will approach a financial institutions to borrow, the financial institutions will lend the money to the borrower from the savings made by the depositors into their account and the financial institutions will charge an interest rate on the loan lend out to the borrowers. The borrowers will then use the loan to invest in the economy.
Final answer:
In the loanable funds market, savings make the supply, and investment provides the demand. These savings are transferred into investments through financial markets. The interest rate adjusts to maintain equilibrium in the loanable funds market.
Explanation:
The loanable funds market functions to convert savings into investments. In this market, savings provide the supply of loanable funds while investment constitutes the demand. Financial markets play an instrumental role in facilitating this transfer. One fundamental principle guiding these interactions is that equilibrium in the market is achieved predominantly through the adjustment of the interest rate. In essence, it is ultimately the interest rate that adapts in response to shifts in supply (savings) and demand (investment) and helps achieve market equilibrium.
Learn more about the Loanable Funds Market here:
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Check all that apply.
O Send a separate letter to each interviewer.
O Use a business letter format.
O Mention something you liked about the interview.
O Send thank-you letters to prospective coworkers.
O Send a quick text to the interviewer
Answers
Answer:
The answers that seem to be correct are *Mention something you liked about the interview and *Use a business letter format. This would be a polite and friendly kind of a feedback mixed with good professionalism.
Explanation:
Now let's see why we rejected the other answer options.
1st of all, Sending a separate letter to each interviewer might be difficult as it could be really difficult to find the contact information of all the interviewers.
Sending thank-you letters to prospective co-workers is not a appropriate thing as you have not been selected still for the job.
Sending a quick text to the interviewer might not be appropriate as well. This is because those who interviewed you during the process are much more experienced and qualified than you and you should maintain your relationship with them professionally and with the utmost respect.
Government purchases of goods and services $1,465
Social Security taxes $510
Net investment $225
Indirect business taxes $520
Imports $825
Gross investment $865
Corporate income taxes $185
Personal income taxes $750
Corporate retained earnings $45
Net foreign factor income $20
Government transfer payments to households $690
Net interest payments to households $0
On the basis of Table, depreciation is
a. $640 billion.
b. $50 billion.
c. $85 billion.
d. $690 billion.
Answers
Answer:
a. $640 billion.
Explanation:
Net investment = $225
Gross investment = $865
Depreciation = Gross investment - Net investment = $865 - $225 = $640
Therefore, on the basis of Table, depreciation is a. $640 billion.
Answers
Answer:
I believe this would be in the Engineering and technology pathway.
Explanation:
Examples of someone in a engineering and technology pathway are people like Biomedical engineers so it makes sense!