Question

A property worth $48,000 is purchased for 10% down and monthly payments of $365 for 14...

  1. A property worth $48,000 is purchased for 10% down and monthly payments of $365 for 14 years. What is the effective annual rate of interest if interest is compounded annually?

Homework Answers

Answer #1

The formulas and the inputs used is as follows:

.

The result is as follows:

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Property worth $98,000.00 can be purchased for 10% down and semi-annual mortgage payments of $3440.00 for...
Property worth $98,000.00 can be purchased for 10% down and semi-annual mortgage payments of $3440.00 for 20 years. What effective annual rate of interest is charged? The effective annual rate of interest is _____% (Round the final answer to two decimal places as needed. Round all intermediate values to six decimal places as needed.)
14. Brooke bought a lakeside cottage for 30% down and monthly mortgage payments of $1224.51 at...
14. Brooke bought a lakeside cottage for 30% down and monthly mortgage payments of $1224.51 at the end of each month for 20 years. Interest is 4.4% compounded semi-annually. What is the purchase price of the property? A) $194 378 B) $195 881 C) $278 878 D) $279 831
Property sold for $330,000 with 10% down, financed at 7.5% interest for 20 years (monthly payments)....
Property sold for $330,000 with 10% down, financed at 7.5% interest for 20 years (monthly payments). The property has a gross annual income of $42,000. Vacancy collection loss is 8% and expenses are $8,000 per year. What is the equity dividend rate indicated by this sale?
Kingston Development Corp. purchased a piece of property for $2.73 million. The firm paid a down...
Kingston Development Corp. purchased a piece of property for $2.73 million. The firm paid a down payment of 10 percent in cash and financed the balance. The loan terms require monthly payments for 30 years at an annual percentage rate of 7.5 percent, compounded monthly. What is the amount of each mortgage payment?
Company A purchased a piece of property for $4.5 million. The firm paid a down payment...
Company A purchased a piece of property for $4.5 million. The firm paid a down payment of 20 percent in cash and financed (borrowed) the balance. The loan terms require monthly payments for 20 years at an annual percentage rate of 7.25 percent, compounded monthly. What is the amount of each monthly mortgage payment? Show your work. (Hint: Use the monthly interest rate with at least six decimal places to avoid rounding errors.)
Company A purchased a piece of property for $4.5 million. The firm paid a down payment...
Company A purchased a piece of property for $4.5 million. The firm paid a down payment of 20 percent in cash and financed (borrowed) the balance. The loan terms require monthly payments for 20 years at an annual percentage rate of 7.25 percent, compounded monthly. What is the amount of each monthly mortgage payment? Show your work. (Hint: Use the monthly interest rate with at least six decimal places to avoid rounding errors.)
A property was purchased for ​$8336.00 down and payments of $1217.00 at the end of every...
A property was purchased for ​$8336.00 down and payments of $1217.00 at the end of every year for 7 years. Interest is 9 % per annum compounded semi-annually.What was the purchase price of the​ property? How much is the cost of​ financing? 1)The purchase price of the property was ? $ 2)The cost of financing is ? $
1-What should an investor pay for an investment property promising a $200,000 return after 10 years...
1-What should an investor pay for an investment property promising a $200,000 return after 10 years if a 7% annual return (compounded annually) on investment is projected? 2-Given the following information on a 30-year fixed-payment fully-amortizing loan, determine the remaining balance that the borrower has at the end of five years. Interest Rate: 4%, Monthly Payment: $3,000 3-An investor has an opportunity to invest in a rental property that will provide net cash returns of $2,000 per month for 10...
A house and lot was offered for P87,000 with a 10% down payment and a monthly...
A house and lot was offered for P87,000 with a 10% down payment and a monthly payment of P500 per month for 25 years. What is the monthly interest rate and the effective rate? The average annual cost of damages caused by floods to a certain subdivision located along the Pasig River is estimated at P700,000. To build a gravity dam to protect the area from floods would cost P2,500,000 and would involve an annual maintenance cost of P20,000. With...
A car was purchased for ​$3100 down and payments of ​$299 at the end of each...
A car was purchased for ​$3100 down and payments of ​$299 at the end of each month for six years. Interest is 8​% compounded semi-annually. What was the purchase price of the​ car? How much interest will be​ paid?
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT