A credit card company charges you an interest rate of 1.25% monthly. The annual percentage is  and  the effective annual rate is 2. You borrow $7,900 to buy a car . The terms of the loan call for monthly payments for five years at 6.5% rate of interest.

What is the amount of each payment 3. A corporate bond is quoted at a current price of 101.387.

What is the market price of a bond with a $1,000 face value 4. Rapid river, Inc., has a 7.5 coupon bond that matures in 9 years. The bond pays interest semi-annually.

What is the market price of a $1,000 face value bond if they yield to maturity is 6.8%

Answer rating: 100% (QA)

To calculate the amount of each payment for a loan we can use the formula for calculating the fixed ... View the full answer