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Arisa [49]
3 years ago
5

Mr. G obtains a $70,000 loan today. He will repay the bank with equal payments to be made at the end of each 6-month period, or

twice each year, for 6 years. If the interest rate the bank charges is an 8% annual percentage rate, what amount of money will each payment be?
Business
1 answer:
g100num [7]3 years ago
3 0

Answer:

The amount of each payment after every 6 months will be $7,458

Explanation:

We need to find the amount of payment made every 6 months. For that we need to know the present value of the loan which is 70,000, the interest rate which is 8% but we will divide it by 2 because there are semiannual payments so interest rate will be 4%, after that we need to know the number of compounding periods, because the payments are semi annual and there are 6  years we will multiply 6 by 2 and get 12 which is our compounding periods. Because there are equal payments and no payment to be made at end the future value of the loan is 0. Now we will input the following data in a financial calculator.

PV= 70,000

I= 4

N= 12

Fv=0

Compute PMT=7,458

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Answer:

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Indeed Tom can rescind the contract with Matthew as he possesses voidable title to the balls

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Until consideration has moved from Matthew to Tom the validity of the agreement/Contract remains inconclusive.

Considering his Account is not funded means he has no valid title to the Balls, he is merely in possession of the Balls but not the Owner.

Tom can sue demanding a return of the Balls irrespective of Matthew having sold them to Aaron.

Another illustration could be given of a thief who sells off a property. Inspite of the Buyer being unaware, because the thief has a voidable title it makes the transaction invalid.

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3 years ago
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Answer:

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Answer:

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