Find the value of x. 75° (11x – 5)º The value of x is

Compare the monthly payments and total loan costs for the following pairs of loan options. Assume that both loans are fixed rate

sertanlavr [38]

The monthly payment for option 1 is $1755.144 and option 2 is $2088.97, total amount for option 1 is $631851.84 and option 2 is $376014.6, and on comparing option 2 will be better option.

Given that for $200,000 loan Option 1 is a 30-year loan at an APR of 10% Option 2 is a 15-year loan at an APR of 9.5%.

A concept that implies that the future value of money will be lower than its present value due to several factors such as inflation is known as TVM(time of value money).

Monthly Payments

Option 1

Loan Amount = $200,000

Number of payments = 30×12 = 360

Monthly interest rate = 10%/12 = 0.008333333

Monthly payment = Loan amount (1+ monthly interest rate)ⁿ×monthly interest rate/[(1+monthly interest rate)ⁿ- 1]

Monthly payment=200,000×(1+0.008333333)³⁶⁰×(0.008333333)/[(1+0.008333333)³⁶⁰-1]

Monthly payment=33062.328/18.83739

Monthly payment=$1755.144

Option 2

Loan Amount = $200,000

Number of payments = 15 x 12=180

Monthly interest rate = 9.5%/12=0.00792

Monthly payment = 200,000(1+0.00792)¹⁸⁰(0.00792)/[(1+0.00792)¹⁸⁰-1]

Monthly payment=6553.096/3.137

Monthly payment=$2088.97

Total Payments

Option 1

As we've found out the monthly payments, we now need to multiply it by the number of months.

$1755.144×360 = $631851.84

Option 2

$2088.97×180 = $376014.6

Conclusion

Option 2 will always be the better option economically as it saves $255837.24 ($631851.84 - $376014.6) in total payments.

Hence, For $200,000 loan Option 1 a 30-year loan at an APR of 10% Option 2 a 15-year loan at an APR of 9.5% is the monthly payment for option 1 is $1755.144 and option 2 is $2088.97, total amount for option 1 is $631851.84 and option 2 is $376014.6, and on comparing option 2 will be the better option.

Learn more about monthly cost from here brainly.com/question/1476828.

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5 0

1 year ago

Someone please help, i’m stuck

german

Answer:

o is there

2x-2

0 is answer

8 0

1 year ago

If BC = 5, DE = 9, and AB = 4, what is the length of AD? 7 8 7.2 7.5

steposvetlana [31]

There are two triangles here: ABC and ADF. These triangles are similar, and thus proportional. So, we can set up a proportion between the left side of each triangle and the base of each triangle.

AB / AD = BC / DE

4 / (4 + BD) = 5 / 9

---AD is made up of AB and DB. We know AB, but not BD, so we need to find its value to find the length of AD.

5(4 + BD) = 9 x 4

20 + 5BD = 36

5BD = 16

BD = 3.2

AD = AB + BD

AD = 4 + 3.2

AD = 7.2

Hope this helps!

8 0

2 years ago

Is this correct? helppp

Marta_Voda [28]

Answer:

Yes its correct the unhighlighted is complement

8 0

2 years ago

Read 2 more answers

When circuit boards used in the manufacture of compact disc players are tested, the long-run percentage of defectives is 5%. Let

sergiy2304 [10]

Answer:

(a) P(X=3) = 0.093

(b) P(X≤3) = 0.966

(c) P(X≥4) = 0.034

(d) P(1≤X≤3) = 0.688

(e) The probability that none of the 25 boards is defective is 0.277.

(f) The expected value and standard deviation of X is 1.25 and 1.089 respectively.

Step-by-step explanation:

We are given that when circuit boards used in the manufacture of compact disc players are tested, the long-run percentage of defectives is 5%.

Let X = the number of defective boards in a random sample of size, n = 25

So, X ∼ Bin(25,0.05)

The probability distribution for the binomial distribution is given by;

$P(X=r)= \binom{n}{r} \times p^{r}\times (1-p)^{n-r} ; x = 0,1,2,......$

where, n = number of trials (samples) taken = 25

r = number of success

p = probability of success which in our question is percentage

of defectivs, i.e. 5%

(a) P(X = 3) = $\binom{25}{3} \times 0.05^{3}\times (1-0.05)^{25-3}$

= $2300 \times 0.05^{3}\times 0.95^{22}$

= 0.093

(b) P(X $\leq$ 3) = P(X = 0) + P(X = 1) + P(X = 2) + P(X = 3)

= $\binom{25}{0} \times 0.05^{0}\times (1-0.05)^{25-0}+\binom{25}{1} \times 0.05^{1}\times (1-0.05)^{25-1}+\binom{25}{2} \times 0.05^{2}\times (1-0.05)^{25-2}+\binom{25}{3} \times 0.05^{3}\times (1-0.05)^{25-3}$

= $1 \times 1 \times 0.95^{25}+25 \times 0.05^{1}\times 0.95^{24}+300 \times 0.05^{2}\times 0.95^{23}+2300 \times 0.05^{3}\times 0.95^{22}$

= 0.966

(c) P(X $\geq$ 4) = 1 - P(X < 4) = 1 - P(X $\leq$ 3)

= 1 - 0.966

= 0.034

(d) P(1 ≤ X ≤ 3) = P(X = 1) + P(X = 2) + P(X = 3)

= $\binom{25}{1} \times 0.05^{1}\times (1-0.05)^{25-1}+\binom{25}{2} \times 0.05^{2}\times (1-0.05)^{25-2}+\binom{25}{3} \times 0.05^{3}\times (1-0.05)^{25-3}$