1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
GarryVolchara [31]
3 years ago
9

You want to buy a car, and a local bank will lend you $20,000. The loan will be fully amortized over 5 years (60 months), and no

minal annual interest rate will be 6%. What will be the monthly loan payment?
Business
1 answer:
koban [17]3 years ago
3 0

Answer:

Monthly installment= $168.77

Explanation:

<em>Loan amortization is a loan repayment arrangement where a loan is repaid using a series of equal installments over the years of the loan. Each installment covers the interest due and a portion of the principal balance </em>

The monthly installment = Loan amount/monthly annuity factor

<em>Annuity factor = (1 - (1+r)^(-n))/r) </em>

r - monthly interest rate, n- number of months

Monthly interest rate = 6%/12= 0.5%

Number of months = 15× 12 = 180

Annuity factor = ( 1-(1.005)^(-180))/0.005

= 118.50

Monthly installment = 20,000/168.771

= $168.77

Answer:

Monthly installment= $168.77

You might be interested in
According to the video, what are a Computer Programmer's real skills? Check all that apply.
choli [55]

Answer:

1 3 thx for the answer!

Explanation:

3 0
3 years ago
Read 2 more answers
How would a computer enhance the productivity of a business
Bas_tet [7]
A computer would enhance the productivity of a business because it would produce better communication and would also help things be accomplished faster. hope that helps if not lmk

7 0
3 years ago
Read 2 more answers
The current account is best defined as:
stiks02 [169]

Answer:

The account that includes transactions like imports and exports, income earned by Americans abroad, and net transfers to other countries.

Explanation:

A current account can be defined as an account that record the different transactions a country carries out with another country. A current account comprises of net primary income, earnings from foreign investors that have occurred within a particular period of time.

Almost all countries are involved in trading of goods and services with another country, a current account helps to evaluate the manner in which a particular country traded their different goods with foreign markets.There tends to be a postive balance of a country exports more goods than it imports.

4 0
3 years ago
last year, you earned a rate of return of 7.55 percent on your bond investments. during that time, the inflation rate was 2.19 p
pychu [463]

The real rate of return is 3.15%.

What is real rate of return?
The annual percentage of financial gain on an investment that has been prorated for inflation is known as the real rate of return. As a result, the real rate of return provides an accurate representation of the real purchasing power of the a given sum of money over time. The investor can calculate how much more of a nominal return seems to be real return by adjusting this same nominal return to account for inflation. Investors must account for the effects of additional factors, including such taxes and investing fees, in addition to adjusting for inflation, in order to calculate real returns on their investments or to make investment decisions. Subtracting this same nominal interest rate from the inflation rate yields the real rate of return.


1+real rate = (1+rate of return) / (1+inflation)
1 + real rate = (1+0.0645) / (1+0.032)
1 + Real Rate = 1.0315
Real Rate = 0.0315 = 3.15%

To learn more about real rate of return
brainly.com/question/3578105
#SPJ4

4 0
1 year ago
Transfer payments alter household income, but they do not reflect the economy's production.
Dominik [7]
I think it might be true, I’m so sorry if I’m wrong
8 0
3 years ago
Other questions:
  • ​Lydia, a minor, charges the cost of a smartphone at a Mobile Devices &amp; Minutes store. Two nights later, Lydia loses the pho
    12·1 answer
  • Single-industry resource towns built around either excavating raw materials like coal or lumber or transporting them by train te
    15·1 answer
  • A ________ transaction in the interbank market is the simultaneous purchase and sale of a given amount of foreign exchange for t
    6·1 answer
  • Help please.........
    5·2 answers
  • Rank the steps of the (sandwich) ELISA procedure from first step to last step. Do not overlap any steps.
    11·1 answer
  • Please select the word from the list that best fits the definition
    14·1 answer
  • Consider two cities, City A and City B, which are entirely identical except that Uber operates in City A, but not in City B. Con
    14·1 answer
  • Which of the following refers to a set of rights to control a tangible or intangible thing?
    6·1 answer
  • Which workplaces are typical for someone working in Marketing, Sales, and Service? Select all that apply,
    11·2 answers
  • Suppose a market is initially perfectly competitive with many firms selling an identical product. Over time, however, suppose th
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!