You would like to get a loan for a new car and you have been approved for the loan at 4.5% compounded monthly. If you are able to afford payments of $275 at the end of every two weeks for 2 years, what price car will you be able to purchase?
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- QUESTION 1 Liam can afford $175 per month as a car payment. If Liam can get an auto loan at 4% interest for 5 years, how expensive of a car can Liam afford? Give your answer to the nearest dollar.Question a Tori is planning to buy a car. The maximum payment she can make is $3400 per year, and she can get a car loan at her credit union for 7.3%interest. Assume her payments will be made at the end of each year 1–4. If Tori’s old car can be traded in for $3325, which is her down payment, what is the most expensive car she can purchase? Full explain this question and text typing work only We should answer our question within 2 hours takes more time then we will reduce Rating Dont ignore this linYou can afford a $200 per month car payment. You've found a 5 year loan at 7% interest. How big of a loan can you afford? S Submit Question Q Search hp O
- QUESTION 2 You would like to purchase a home and are interested to find out how much you can borrow. When your lender calculates your debt to income ratio, he determines that your maximum monthly payment can be no more than $2,500. You would like to have a 30 yearfully amortizing loan and the interest rate offered on such a loan is currently 6%. Given these constraints, what is the largest loan you can obtain?Q A friend asks to borrow $55 from you and in return will pay you $58 in one year. If your bank is offering a 6% interest rate on deposits and loans: How much would you have in one year if you deposited the $55 instead? How much money could you borrow today if you pay the bank $58 in one year? Should you loan the money to your friend or deposit it in the bank?> Next question You can retry this question below If you want to buy a car, and you can afford a monthly payment of $425, how large of a loan can you get at 5.95% interest over 60 months(5 years)? Round your answer to the nearest dollar.
- ❖ Problem 2 After graduation, you just got hired by an engineering company and you were planning to take a loan in order to purchase a new car. Let's assume that the bank is willing to offer you a personal loan with an annual interest rate of 7% compounded yearly. The car price is 25,739 JD and you are capable to pay 5,400 JD per year. After how many years you will be able to pay back the loan with the accumulated interest (use a spreadsheet to answer this question) and draw the cash flow diagram?Calculating interest earned and future value of savings account. If you put 6,000 in a savings account that pays interest at the rate of 3 percent, compounded annually, how much will you have in five years? (Hint: Use the future value formula.) How much interest will you earn during the five years? If you put 6,000 each year into a savings account that pays interest at the rate of 4 percent a year, how much would you have after five years?You want to buy a new car. You can afford payments of $500 per month and can borrow the money at an interest rate of 5.1% compounded monthly for 5 years. How much are you able to borrow? How much interest do you pay? Question Help: D Video 1 D Video 2
- QUESTION 10 Aya and Sakura have now saved up their down payment to buy a home, but they still need to borrow to cover the rest. For the home they want this will require a mortgage of $450,000 to cover the remaining amount and they’re not sure whether they could afford the monthly loan payments. The bank has offered them a mortgage interest rate of 3.25%, compounded monthly . How much would they have to be able to afford to pay each month in order to pay off their mortgage in 25 years? What is the total amount that would be paid to the lender after 25 years of payments? ANSWER FOR PART 1 : 2192.92 ANSWER FOR PART 2 : 657876.00 What if Aya and Sakura could only afford a monthly payment of $1800? What would be the maximum mortgage amount they could afford to borrow from the bank, if all the other conditions were the same? What is the total amount that would be paid to the lender over 25 years?Example 5: While shopping for a car loan, you get the following offers: Solid Savings & Loan is willing to loan you $10,000 at 9% interest for 4 years. Fifth Federal Bank & Trust will loan you the $10,000 at 7% interest for 3 years. Both require monthly payments. You can afford to pay $250 per month. Which loan, if either, can you take?Question 8 You want to buy a Car that costs $23,000. You make a $3,000 down payment. You finance the rest at 2.4% interest over 6 years with monthly payments. Answer the following: 1. Write the Equation for the Formula for how much your monthly payment will be: (use the math tool given by the VI symbol above if you can) 2. If your monthly payment is $300 a month how much interest do you pay over the course of the loan? 3. If you were to pay off the loan in 5 years instead of 6 years: Would the monthly payment increase or decrease? 4. If you were to pay off the loan in 5 years instead of 6 years: Would the amount of interest payed increase or decrease?
