If you quote a consumer loan customer an APR of 16 percent on a $10,000 loan with
Question:
If you quote a consumer loan customer an APR of 16 percent on a $10,000 loan with a term of four years that requires monthly installment payments, what finance charge must this customer pay?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 80% (15 reviews)
Given an APR of 16 percent the monthly rate of ...View the full answer
Answered By
Madhvendra Pandey
Hi! I am Madhvendra, and I am your new friend ready to help you in the field of business, accounting, and finance. I am a College graduate in B.Com, and currently pursuing a Chartered Accountancy course (i.e equivalent to CPA in the USA). I have around 3 years of experience in the field of Financial Accounts, finance and, business studies, thereby looking forward to sharing those experiences in such a way that finds suitable solutions to your query.
Thus, please feel free to contact me regarding the same.
5.00+
1+ Reviews
10+ Question Solved
Related Book For
Bank Management and Financial Services
ISBN: 978-0078034671
9th edition
Authors: Peter Rose, Sylvia Hudgins
Question Posted:
Students also viewed these Banking questions
-
A $9000, four-year term loan requires monthly payments of $220.77. What are the monthly compounded nominal rate and the effective rate of interest on the loan?
-
A loan is offered with monthly payments and a 10 percent APR. Whats the loans effective annual rate (EAR)?
-
A $7500 loan at 9% compounded monthly requires three payments at five-month intervals after the date of the loan. The second payment is to be twice the size of the first payment, and the third...
-
What are the essential differences between victim and annex caches?
-
Let f (x) = 2x cos(2x) (x 2)2 and x0 = 0. a. Find the third Taylor polynomial P3(x), and use it to approximate f (0.4). b. Use the error formula in Taylor's Theorem to find an upper bound for the...
-
The Polaris Company uses a job-order costing system. The following data relate to October, the first month of the companys fiscal year. a. Raw materials purchased on account, $210,000. b. Raw...
-
A plastic rod is rubbed with wool, producing a distribution of positive and negative surplus charge that is concentrated in two locations on the rod and two on the wool. This distribution can be...
-
In 20082009, the price of jet and diesel fuel used by air freight companies decreased dramatically. As the CEO of FedEx, you have been presented with the following proposals to deal with the...
-
Ahmed, a foreign qualified accountant, has recently returned to Pakistan and has joined a newly incorporated company Radium Limited (RL), a subsidiary of a listed company. Ahmed has been entrusted...
-
In a three-month down-and-out call option on silver futures the strike price is $20 per ounce and the barrier is $18. The current futures price is $19, the risk-free interest rate is 5%, and the...
-
See if you can determine what APR you are charging a consumer loan customer if you grant the customer a loan for five years payable in monthly installments, and the customer must pay a finance charge...
-
How is the loan rate figured on a home mortgage loan? What are the key factors or variables?
-
Give the meaning of each metric prefix in Problems 11-16. milli
-
Unemployment is a more serious economic problem than inflation and it should be the focus of the Feds monetary policy. Evaluate this statement and explain why the Feds primary policy goal is price...
-
What is the history of bankruptcy law in the United States?
-
Budget of the U.S. Government In Fiscal 2021, mandatory spending on the three entitlement programsSocial Security, Medicare, and Medicaidwas 11.1 percent of GDP. This expenditure was projected to...
-
What are the various techniques of corporate expansion?
-
Recompute the reactions for the beam in Figure 9.4 if a spring with \(K=235 \mathrm{kips} / \mathrm{in}\). is provided between support \(B\) and the midspan of the beam. Figure 9.4 A 7' w = 3 kips/ft...
-
You are working on the audit of your client Sweetie Ltd for the year ended 31 March 202X. The company employs 100 workers in a doughnut manufacturing plant. Wages are paid weekly. The following...
-
A woman at a point A on the shore of a circular lake with radius 2 mi wants to arrive at the point C diametrically opposite on the other side of the lake in the shortest possible A time. She can walk...
-
List the five major components of a computer system.
-
Assume that the real output (RO) for a country is expected to be 2.4 million products. a. If the price level (PL) is $250 per product, what will be the amount of the gross national product (GDP)? b....
-
Assume that a country estimates its M1 money supply at $20 million. A broader measure of the money supply, M2, is $50 million. The countrys gross domestic product (GDP) is $100 million. Production or...
-
Using the data in Problem 8, along with the monetarists view of the relationship between money supply and GDP, answer the following: a. If the M1 money supply increases by 10 percent and the M1...
-
2. Consider a helicopter rotor in a wind tunnel. The rotor is spinning and the wind is turned on. The equation for the rotor flapping was derived in class for this situation. Note that = - +C/2 =...
-
In this problem, you are asked to go through the steps of a finite element analysis. The key features include the use of isoparametric element formulation and Gauss numerical integration. (A) Problem...
-
A wheel rolls without slipping on a surface with a constant radius of curvature R. The centre of curvature is located at point O. R 20 9 G m Assume the wheel can be approximated as a uniform disk...
Study smarter with the SolutionInn App