Mr. Spend has accumulated credit card loans of $15,000 and is finding it difficult to make payments.
Question:
Mr. Spend has accumulated credit card loans of $15,000 and is finding it difficult to make payments. His local bank has offered him a consolidation loan to pay off all the credit card loans. The loan calls for monthly payments for 10 years and has a nominal interest rate of 5.99% (APR). What will Mr. Spend's monthly payments be if he takes the loan?
Transcribed Image Text:
Credit Card Visa 1 Visa 2 Visa 3 Master Card1 Loan Amount S3,000 S5,000 S6,000 S1,000 Monthlv Pavment S90 S120 S150 S20
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 57% (21 reviews)
Computation of monthly payment if he takes the lo...View the full answer
Answered By
Muhammad Khurram
I have strong General Management skills to apply in your projects. Over last 3 years, I have acquired great knowledge of Accounting, Auditing, Microsoft Excel, Microsoft PowerPoint, Finance, Microsoft Project, Taxation, Strategic Management, Human Resource, Financial Planning, Business Planning, Microsoft Word, International Business, Entrepreneurship, General Management, Business Mathematics, Advertising, Marketing, Supply Chain, and E-commerce. I can guarantee professional services with accuracy.
4.80+
249+ Reviews
407+ Question Solved
Related Book For
Financial Accounting
ISBN: 978-1259103285
5th Canadian edition
Authors: Robert Libby, Patricia Libby, Daniel Short, George Kanaan, M
Question Posted:
Students also viewed these Accounting questions
-
Credit card debt High interest rates make it difficult for people to pay off credit card debt in a reasonable period of time. The interest I (in dollars) paid on a $10,000 debt over 3 years when the...
-
What monthly payment for 15 years will pay off a $50,000 loan at 8.25% compounded monthly?
-
A loan is offered with monthly payments and a 10 percent APR. Whats the loans effective annual rate (EAR)?
-
Match the items below by entering the appropriate code letter in the space provided. An entry that involves three or more accounts Transferring journal entries to ledger accounts The side which...
-
Friendship is a national manufacturer and distributor of greeting cards. The company has recently begun distributing a low-priced line of cards using a lower-grade paper. Quality differences between...
-
In a contest of National Football League behemoths, teams from the Rams and the 49ers engage in a tug of war, pulling in opposite directions on a strong rope. The Rams exert a force of 9200 N and...
-
Discuss project accounting and its role in managing project finances.
-
Rottino Company purchased a new machine on October 1, 2014, at a cost of $150,000. The company estimated that the machine will have a salvage value of $12,000. The machine is expected to be used for...
-
The following figure shows an image of size 55 2340 34567 2345 1234L 6 4 5 6 7 8 618 7 0 Compute five of the following: a- The output of the 33 mean filter at (0,0) with zero padding. b- The output...
-
1. What target market does Embrace seek to serve and how attractive is that market? 2. What examples of primary research that Embraces founders completed appear in the case? 3. What actions did...
-
Mr. Wise is retiring in 25 years. He would like to accumulate $1,000,000 for his retirement fund by then. He plans make equal monthly payments to achieve his goal. If the rate of return on the...
-
A company will have to pay a $50,000 liability in four years. How much must be deposited now into a bank account earning 8% compounded semiannually to fully fund the future payment? A. $34,000 B....
-
What can managers do to cope with uncertainty or changes in underlying assumptions?
-
What type of algorithm should be used to purchase the XYZ shares given Hardings priority in building the XYZ position and his belief about potential price movements? A. Scheduled algorithm B. Arrival...
-
Identify which manager is most appropriate for Parade. Justify your response. Upon choosing a manager, Lute must allocate the funds either to a separately managed account (SMA) customized for Parade...
-
Which of Yellows statements regarding the trade implementation of non-equity investments is correct? A. Only Statement 4 B. Only Statement 5 C. Both Statement 4 and Statement 5 Robert Harding is a...
-
Identify which investment manager is most suitable for Patnode. Justify your response based solely on each managers investment philosophy and approach Susan Patnode, age 66, was recently widowed and...
-
Discuss how Smiths stated expectation would be reflected in estimated portfolio risk under the fee structure identified by Porter. After narrowing their choice to three managers with different fee...
-
Show the basic steps required to sign and verify a JAR file using jarsigner tool.
-
A 20-cm-square vertical plate is heated to a temperature of 30oC and submerged in glycerin at 10oC. Calculate the heat lost from both sides of the plate.
-
International Energy plc was formed in 1912 with 100,000 shares of equity with a 1 par value. Today, the companys share price is 9 and retained earnings are 213,000. International Energy has just...
-
A firm charges its credit customers 13/4%interest pe month. What is the effective interest rate?
-
A thousand dollars is invested for 7 months at interest rate of 1% per month. What is the nominal interest rate? What is the effective interest rate?
-
What interest rate, compounded quarterly, is equivalent to a 9.31% effective interest rate?
-
The Production Department of Hruska Corporation has submitted the following forecast of units to be produced by quarter for the upcoming fiscal year: Units to be produced 1st Quarter 2nd Quarter 3rd...
-
You go to the hardware store to buy a new 50 ft garden hose. You find you can choose between hoses of inch and inch inner diameter. Compare the rate at which water flows through the two types of...
-
Miller Company's contribution format income statement for the most recent month is shown below: Sales (32,000 units) Variable expenses Total $ 224,000 128,000 Contribution margin 96,000 Per Unit $...
Study smarter with the SolutionInn App