You finance the purchase of a $104,880 Porsche 911 Carrera Coupe for $1,199 per month for 36

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

Question:

Date	0	1	2	...	35	36
Cash Flow	$104,880 -$7,199 = $97,681	-$1,199	-$1,199	...	-$1,199	-$1,199 -$65,025.60 =-$66,224.60

What is the APR on this financing arrangement?

You finance the purchase of a $104,880 Porsche 911 Carrera Coupe for $1,199 per month for 36 months plus $7,199 down today and an additional final payment of $65,025.60 at the end of the 36 months. Here is a timeline of your financing cash flows:

Date	0	1	2	...	35	36
Cash Flow	$104,880 -$7,199 = $97,681	-$1,199	-$1,199	...	-$1,199	-$1,199 -$65,025.60 =-$66,224.60

What is the APR on this financing arrangement?

Related Book For answer-question

Financial Accounting A User Perspective

ISBN: 978-0470676608

6th Canadian Edition

Authors: Robert E Hoskin, Maureen R Fizzell, Donald C Cherry

See More Books

Posted Date: Mar 15, 2024 11:15 PM

See More Questions

This assignment requires you to complete the 2022 tax reporting for a fictional woman named Anna Smith. Question 1 T1 - step 4 - line 66 This is Anna's taxable income Answer: Question 2 T1 - step...
The following additional information is available for the Dr. Ivan and Irene Incisor family from Chapters 1-5. Ivan's grandfather died and left a portfolio of municipal bonds. In 2012, they pay Ivan...
You have just had a tenant sign a lease contract that guarantees you payments of $100,000 at the end of each year for the next five years. What is the present value of these future cash flows...
5. Explain how Culture can help companies set legal and ethical standards?
On April 1, 2013, Brandoni Company has a piece of machinery with a cost of $100,000 and accumulated depreciation of $75,000. On April 1, Brandoni decided to sell the machine within one year. As of...
Answer true or false. If false, give the reason. {gold, silver, bronze} {gold, bronze, silver}
Mind & Motion entered into a real estate purchase contract (REPC) with Celtic Bank to buy a large piece of the banks foreclosed property. Although the county had approved plans to construct...
The Blending Department of Luongo Company has the following cost and production data for the month of April. Costs: Work in process, April 1 Direct materials: 100% complete ......$100,000 Conversion...
Problem 4. Suppose that A in an m x n matrix and b is a vector in R. Let a = (a1,..., am) be a vector in Rm. Carefully prove that the following two statements are equivalent: There is a vector x R"...
Use multiplexers to implement the circuit for stage 0 of the carry-lookahead adder in Figure 3.15 (included in the right-most shaded area) Figure 3.15 The first two stages of a carry-lookahead adder....
The annual sales income of the enterprise using the existing equipment is 30 million, and the annual cash cost is 22 million. The company now plans to update its equipment. The purchase price of the...
(a) You have been preparing materials on the topic: Good Sociological Practices and you intend to share this information but you are not sure how. Would you rather; (i) Deliver an oral presentation...
Explain the best practices in rational decision-making and explains how you will use what you have learned in each of the following areas to improve your managerial decision-making. Overcoming bias...
Apex Customs, a full-service automotive shop dedicated toproviding clients with a complete range ofautomotive customization services, this weekannounced the launch of Axium Lighting, a new line of...
Explain performance management and the roles it plays within an organization. Describe a performance appraisal process and assess the importance of performance appraisals in an effective performance...
Using the Reader-Response model we learned in class, use Martin Ginsberg's essay, "Thirty-Eight Who Saw Murder and Didn't Call the Police," as the basis for your response discussing whether or not...
My Parents Are Turning 65 and Need Help Signing Up for Medicare By Nancy H. Shanks Im in a pickle. My Baby Boomer parents are on the verge of turning 65. They just received their copy of Medicare...
A copper rod of length L =18.0 in is to be twisted by torques T (see figure) until the angle of rotation between the ends of the rod is 3.08. (a) If the allowable shear strain in the copper is 0.0006...
For each of the following transactions, indicate how (a) net earnings and (b) cash flows are affected. For each, state whether there will be an increase, a decrease, or no effect, and the amount (if...
Flatfish Limited reported the following items in shareholders' equity on December 31, 2010: Required: a. No dividends were declared in 2008 or 2009; however, in 2010 cash dividends of $5,000,000 were...
Suncor Energy Inc. is a major developer in the oil sands of Northern Alberta. Note 17 to Suncor's financial statements (Exhibit 10-15) describes the company's long-term debt as at December 31, 2009....
Consider the homogeneous bar, of negligible cross section, mass $M=1.333 \mathrm{~kg}$ and length $L=60.0 \mathrm{~cm}$ in Fig.12.19 . It is constrained to rotate in a vertical plane about its...
A projectile of mass $m=2.5 \mathrm{~kg}$ is shot tangentially (see Fig.12.19) at the edge of a ring having radius $R=50 \mathrm{~cm}$ and whose mass is equal (within measurement errors) to that...
A homogeneous disk, having mass $M=2.50 \mathrm{~kg}$ and radius $R=15.0 \mathrm{~cm}$, can rotate, without friction, about a fixed horizontal axis, passing through the point $\mathrm{O}$ of...

You finance the purchase of a $104,880 Porsche 911 Carrera Coupe for $1,199 per month for 36

Question:

Expert Answer:

To calculate the APR on this financing arrangement we can use the formula for AP... View the full answer

Financial Accounting A User Perspective

Students also viewed these finance questions