Question: Umesh borrowed $ 1 , 0 0 0 for one year and paid $ 5 0 in interest. The bank charged him a $ 7

Umesh borrowed $1,000 for one year and paid $50 in interest. The bank charged him a $7 service charge. If Umesh paid the $1,000 in 12 equal monthly payments, what is the APR?
Note: Enter your answer as a percent rounded to 1 decimal place.

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

Q:

1. Paul borrowed $260 to be repaid in one year. He paid 10% interest and a service charge of $9. What is his finance charge? A. $260 B. $295 C. $26 D. $35 Question 2 What is the APR for a $580 loan...

Q:

1. Dave borrowed $600 on January 1, 2006, and paid it all back at once on December 31, 2006. The bank charged him a $6.40 service charge and interest was $44.90. What was the APR? (Do not round...

Q:

PowerPoint Assignment for BUS 401: Principles of Finance You have been asked by a manager in your organization to put together a training program explaining Net Present Value (NPV) and Future Value...

Q:

. Provide solutions to these attachments. Consider a closed economy that is characterised by the following equations: (1) Y = C + I + G (2) C = 200 + 0. 75(r_r) (3) 1 = 325 -25: (4) T=500 (5) 0:500...

Q:

.Solve the following this question is complete. (1 point) The average cost per item to produce q items is given by a(q) = 0.02972 1.2g + 28, for q > 0. What is the total cost, C(q), of producing q...

Q:

i increase the price but i need that you check the general journal because it's automatically the worksheet you can't change the worksheet Building Blocks of Accounting .. A Financial Perspective to...

Q:

Need help with these due today. Finance questions. Thanks Problem Set 3 1. Louise McIntyre's monthly gross income is $2,000. Her employer withholds $400 in federal, state, and local income taxes and...

Q:

.Solve the following questions A firm uses two inputs, X and Y and its production function is Q = %(xy), where here we are using x and y to represent the quantities of the two inputs. (a) Calculate...

Q:

A.Joshua borrowed $1,500 for one year and paid $75 in interest. The bank charged him a service charge of $15. What is the finance charge on this loan? b.Joshua borrowed $500 on January 1, 2017, and...

Q:

Case Info: You are auditing the general cash account for the Simply Soups Inc. for the fiscal year ended December 31, 2017. The client has not prepared the December 31, 2017 bank reconciliation....

Q:

Variable Costing Income Statements; Sales Constant, Production Varies; JIT Impact [LO1, LO2, LO3, LO4, LO5] "This makes no sense at all," said Bill Sharp, president of Essex Company. "We sold the...

Q:

You are the Project Manager on the design team for a new bridge across the North Saskatchewan River. Your team consists of an Architectural Team, Structural Engineering Team, and an Electrical...

Q:

According to the testimony of Brad Smith, President of Microsoft Corporation, before the Senate Select Committee on Intelligence, what is the rationale for the proposed requirement that all companies...

Q:

Delta Airlines offers three fare classes (call them H, M and L) on its flight from Salt Lake City (SLC) to Chicago (ORD). The ticket prices are $600, $400 and $200 respectively. Flight capacity is...