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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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2 years ago
The FDA does all of the following EXCEPT
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7 0
3 years ago
Workers at a bicycle assembly plant currently earn the mandatory minimum wage. If the federal government increases the minimum w
shtirl [24]

Answer:

c. supply of bicycles will shift to the left.

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I hope my answer helps you

5 0
4 years ago
Article 2 of the UCC deals with the sale of ___________. It does not deal with real property (real estate), services, or propert
yawa3891 [41]

Answer:

goods, common, predominant-factor

Explanation:

Article 2 of the UCC deals with the sale of <u>GOODS</u>. It does not deal with real property (real estate), services, or property such as stocks and bonds. Thus, if the subject matter of a dispute is goods, the UCC governs. If it is real estate or services, the <u>COMMON </u>law applies. If a contract involves both goods and services, the courts generally use the <u>PREDOMINANT-FACTOR </u>test to determine whether to apply the UCC

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4 years ago
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