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Dima020 [189]
3 years ago
8

You want to buy a new sports coupe for $75,500, and the finance office at the dealership has quoted you a 7.9 percent APR loan f

or 72 months to buy the car. Requirement 1: What will your monthly payments be? (Do not include the dollar sign ($). Enter rounded answer as directed, but do not use the rounded numbers in intermediate calculations. Round your answer to 2 decimal places
Business
1 answer:
MAVERICK [17]3 years ago
8 0

Answer:

$1,295.03

Explanation:

To find the answer, we will use the present value of an annuity formula:

PV = A ( 1 - (1 + i)^-n) / i

Where:

  • PV = Present Value of the investment (in this case, the value of the loan)
  • A = Value of the Annuity (which will be our incognita)
  • i = interest rate
  • n = number of compounding periods

Now, we convert the 7.9 APR to a monthly rate. The result is a 0.6% monthly rate.

Finally, we plug the amounts into the formula, and solve:

75,500 = A (1 - (1 + 0.006)^-72) / 0.006

75,500 = A (58.3)

75,500 / 58.3 = A

1,295.03 = A

Thus, the monthly payments of the car loan will be $1,295.03 each month.

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Answer:

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Explanation:

As with the details of inventory we have:

Opening value of inventory = $50,000

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On the closing date we have the balance of inventory in hand = $110,000

Therefore, cost of goods sold = Total inventory - Closing

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Cost of goods sold is an expense, and shall be debited.

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2 years ago
Under the gold standard, what occurs when Japan has a trade surplus? Multiple Choice The prices of commodities will be low in th
Olin [163]

Answer:

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Answer:

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Just one more time :)
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Answer:

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Explanation:

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