4. You borrowed $5,000.00 at 1.5% per month and agreed to repay in equal monthly payments...

 

Transcribed Image Text:

4. You borrowed $5,000.00 at 1.5% per month and agreed to repay in equal monthly payments over the next 5 years. What is your monthly payment? 3 5. You borrowed $12,000.00, which is to be re-paid in equal quarterly payments of $1,084.00 over the next 3 years. a) Determine the interest rate per interest period based on quarterly compounding. b) What are the nominal and effective interest rates? 2 4. You borrowed $5,000.00 at 1.5% per month and agreed to repay in equal monthly payments over the next 5 years. What is your monthly payment? 3 5. You borrowed $12,000.00, which is to be re-paid in equal quarterly payments of $1,084.00 over the next 3 years. a) Determine the interest rate per interest period based on quarterly compounding. b) What are the nominal and effective interest rates? 2

Answer rating: 100% (QA)

4 To calculate the monthly payment for a loan of 500000 with an interest rate of 15 per month we can ... View the full answer