1. If an amount of $2,000 is borrowed at a simple interest rate of 10% for...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
1. If an amount of $2,000 is borrowed at a simple interest rate of 10% for 3 years, a. how much is the annual interest? b. How much is the total amount of interest paid during the life of the loan? Assume that only the interest is paid annually, and the principal is repaid at the end of three years. 1. If an amount of $2,000 is borrowed at a simple interest rate of 10% for 3 years, a. how much is the annual interest? b. How much is the total amount of interest paid during the life of the loan? Assume that only the interest is paid annually, and the principal is repaid at the end of three years.
Expert Answer:
Related Book For
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
Posted Date:
Students also viewed these accounting questions
-
If someone borrowed 4,000 JD at a simple interest rate = 0.5% per month to be repaid %3D after 4 years, the total interest paid is: Select one: a). 2520 b). 3360 c). 720 d). 960
-
A bank pays a simple interest rate of 4.1% on 30-day to 179-day GICs of at least $100,000. What is the effective annualized rate of return a. On a 40-day GIC? b. On a 160-day GIC?
-
Morgan loaned $3100 to Rolf at a simple interest rate of 0.65% per month. What was the term of the loan if the total interest came to $221.65?
-
St . Petersburg Graduate School of Management ( GSOM ) in russia . now you required to Analyze the landscape and competitive market of our school ( you will need to choose from which market you are...
-
What is the reliability of the following parallel production process? R1 = 0.95, R2 = 0.90, R3 =0.98. Ri Rs
-
As an example of impure serial correlation caused by an incorrect functional form, lets return to the equation for the percentage of putts made (P i ) as a function of the length of the putt in feet...
-
If a lightbulb is connected to a \(120 \mathrm{~V}, 60 \mathrm{~Hz}\) electric outlet, how many times a second does the bulb reach peak brightness?
-
On December 1, 2014, Harrisen Company had the account balances shown below. The following transactions occurred during December. Dec. 3 Purchased 4,000 units of inventory on account at a cost of...
-
4. Given the following matrices: 2 3 O A = -5 4 7 and B = 2 3 6 --10--(19) 3. Write a program in C that doing the following job: a) Input elements in the matrices A and B from the keyboard b) C=2A+B...
-
For each scenario below, identify which sampling method was used. Explain your reasoning. a) A dean decided to assess students' views on the school cafeteria's food. To do so, the dean randomly...
-
For the following LCL shipments calculate the chargeable weight/measure the freight charges for each shipment including applicable surcharges (CAF is % of O/F charges, BAF & OHC are charged on w/m,...
-
A firm has total interest charges of $12,000 per year, sales of $1 million, a tax rate of 40 percent, and a net profit margin of 6 percent. What is the firm's times-interest-earned ratio? My work:...
-
An investor has a retirement portfolio comprised of 3 assets cash, bonds and stocks. The asset allocation (weights) of the retirement portfolio is as follows: Cash: 6%, Bonds: 18%, and the rest is...
-
Create a case brief for the case PETA v. Doughney, including procedural history, the facts, legal questions, rationale, and analysis (if needed).?
-
Using a discount rate of 7.5% compounded annually, a pension fund estimates that the present value of its assets and liabilities are $5 million and $4 million, respectively. The duration of the...
-
If you deposit $300 into an account twice a year that pays 2.8% interest compounded semiannually, how much will you have in the account after 8 years? Identify your variables: PMT 300 T= 0.028 n = 2...
-
Let T = -2 1 1 0 2 -3 0 3 Let w = " and denote I3 = (c) Express an arbitrary vector v = nation of eigenvectors of T. " (a) i). Calculate det (T-xI3) for any x to find the characteristic polynomial of...
-
Repeat Exercise 16.6 using the t-test of the coefficient of correlation. Is this result identical to the one you produced in Exercise 16.6?
-
Van makes an investment in a partnership in 2012. Van's capital contributions to the partnership consisted of $30,000 cash and a building with an adjusted basis of$70,000, subject to a nonrecourse...
-
Matthew borrows $250,000 to invest in bonds. During 2012, his interest on the loan is $30,000. Matthew's interest income from the bonds is $10,000. This is Matthew's only investment income. a....
-
Sherry Hopson owns a retail family clothing store. Her store is located at 4321 Circle Drive, Houston, TX 77001. Her employer identification number is 95- 1234321 and her Social Security number is...
-
What is overdraft protection? Are all checking account holders automatically enrolled?
-
List the five most common itemized deductions, and describe the limits set on each.
-
Define net asset value. When is the net asset value of a mutual fund calculated?
Study smarter with the SolutionInn App