A loan is being repaid with equal annual installments at 4% effective per annul. If the principal

Fantastic news! We've Found the answer you've been seeking!

Question:

A loan is being repaid with equal annual installments at 4% effective per annul. If the principal repaid in the next to last installment is $100, find the interest contained in the installment due 5 years before the last installment.

A. 18.52

B. 21.81

C. 19.39

D. 20.26

E. 22.68

Related Book For answer-question

Business Math

ISBN: 978-0133011203

10th edition

Authors: Cheryl Cleaves, Margie Hobbs, Jeffrey Noble

See More Books

Posted Date: Sep 05, 2020 02:14 AM

See More Questions

A loan is being repaid by 20 level annual payments of R, where R is three times the amount of interest that accrues during the first year. Find the interest rate of the loan expressed as an effective...
Gillian and Bob are two intrepid sailors who have a demand curve for lighthouses given by: Bob: p=240-3Q Gillian: p= 120 - Q Lighthouses are a pure public good and you should assume that the marginal...
Suppose that a loan is being repaid with 20 annual payments with the first payment coming one year from now. The first 5 payments are for $220, the next 8 are $340 each, and the final 7 are $410...
During the year ended 30 June 20X5, Gem Stone Ltd acquired two areas of interest Site A and Site B. The exploration and evaluation activities at Site A amounted to $64454401. The costs relate to the...
A cable and pulley system in figure part (a) supports a cage of mass 300 kg at B. Assume that this includes the mass of the cables as well. The thickness of each the three steel pulleys is t = 40 mm....
1. Of the four options available to Angi, which is the most ethical? 2. Using the principles of distributive justice, who would Angi choose to become the research assistant? 3. From Heifetz's...
The R function size2z.test () shown below implements the sample size formula for calculating the sample size for a test of $H_{0}: \theta=0$ versus $H_{1}: \theta eq 0$, where...
Barfield Corporation prepares business plans and marketing analyses for startup companies in the Cleveland area. Barfield has been very successful in recent years in providing effective service to a...
New Tech Corporation has assets with a market value of $300 million, $40 million of which are cash. It has debt of $50 million, and 7 million shares outstanding. Assume perfect capital markets and no...
A researcher studied the number of anxiety attacks recounted over a two-week period by 30 people in psychotherapy for an anxiety disorder. In an article describing the results of the study, the...
By using ratio test, determine whether the following series converges or diverges. 7+2 21(n+1)!
what are the mechanisms underlying gas exchange in the alveoli, and how do factors such as ventilation-perfusion matching, diffusion capacity, and pulmonary surfactant contribute to efficient...
Rishi Singh has$2,200to invest. His investment counselor suggests an investment that pays no stated interest but will return$3,100at the end of5years. What annual rate of return will Rishi earn with...
It is March 1. A company expects to buy 1000 barrels of crude oil on June 1. On March 1, the price of oil is $51 per barrel and the July futures price is $49 per barrel. On June 1, the price of oil...
The power of ratios lies in the fact that the numbers in the financial statements by themselves don't reveal the whole story." If the controller of the company that you own came into your office with...
Ali Redha Co. needs $5,000,000 for new investment projects. The company has a target capital structure (D/E) of two-third (2/3). If Ali Redha Co. net income is $ 4,000,000, what is the amount of...
How does functionalism contribute to our understanding of social institutions such as family, education, religion, and government, by examining their roles in maintaining social order, stability, and...
Find the volume of the described solid S. A frustum of a right circular cone with height h, lower base radius R, and top radius r -r- --R
When given the rate of markup, describe at least one situation that leads to adding the rate to 100%. Describe at least one situation that leads to subtracting the rate from 100%.
Explain the error in each problem, then work the problem correctly. 4/9 ( 2 ¼ = 4/9 ( 9/4 = 36/36 = 1 2 5 14 3424 7
Find the variance for the scores in the following data set: 90, 89, 82, 87, 93, 92, 98, 79, 81, 80. Show that the sum of deviations is zero.
cell before his work shift. A few items remained in his old cell: a pair of Adidas shoes, some electronic equipment, and some food. Melvin hid the property and asked the guard to deadlock the cell....
Nelson Rodriguez and Belinda Georgeson had a daughter together and had been living together since some time in 2012. In June 2015, Rodriguez became physically abusive with Georgeson. Rodriguez was...
Clarett sought summary judgment on the merits of his antitrust claim. The NFL asserted that Clarett lacked antitrust standing and, as a matter of law, that the eligibility rules were immune from...

A loan is being repaid with equal annual installments at 4% effective per annul. If the principal

Question:

Expert Answer:

Calculation of Interest contained in installment due 5 yea... View the full answer

Business Math

Students also viewed these finance questions