Answer:
Monthly installment is $724.72
Explanation:
Given:
Amount of loan (PV) = $45,000
Time period (nper) = 6 years or 6×12 = 72 months
Since amount need to be repaid in equal monthly installment
Annual interest = 5% or 0.05
Monthly interest (rate) = 0.05 ÷ 12 = 0.0041667
Calculate monthly installment (pmt) using spreadsheet function =pmt(rate,nper,PV)
Monthly installment is $724.72
Pmt is negative as it is a cash outflow.
<u>Explanation:</u>
1. $1270.54. This is evident since this was written at the bottom of the credit card statement.
2. $500. We find this under the row for payments.
Purchases made:
- 3/25 Groceries land: $142
- 3/27 Book store: $33
- 4/1 Restaurant: $125
- 4/19 Bob's Auto: $425
3. $500
4. Because he made late payments and it comes with a $35 penalty fee as stated in the credit policy of the company.
5. $10.54.
6. $5,000 credit limit, and $3,729.46 is Joe's available credit line.
7. Purchases: 13.99%, Balance transfers: 13.99%, Cash Advances: 25.99.
8. $25.
9. 4/29/19.
10. No, because there is no cash advance charge on the statement.
11. In other to inform the card-holders about the financial burdens attached to paying only the minimum payment due.
Answer:
Ultimately, economics is the study of choice. Because choices range over every imaginable aspect of human experience, so does economics. Economists have investigated the nature of family life, the arts, education, crime, sports, law—the list is virtually endless because so much of our lives involves making choices.
Answer:
Compound interest is better than simple interest
Explanation:
Compound interest is better than simple interest especially when it comes to investing. Funds grow at a faster rate in compound interest than simple interest.
Simple interest is the interest on only the principal while compound interest is the interest on principal and on the previous accumulated interest (that is, interest on interest).
The formula for simple interest is:
P x r x t
Where P is the principal
r is the interest rate
t in the time.
For compound interest:
A=P(1+r/n)^nt.
A is the amount after compounding.
P is the principal.
r is the interest rate
n is the number of times interest compounds(adds up) per year
t is the number of years.
Explanation:
<em>A change in a country's balance of payments can cause fluctuations in the exchange rate between its currency and foreign currencies. The reverse is also true when a fluctuation in relative currency strength can alter balance of payments</em><em>.</em>