Question

Celeste just borrowed 31,500 dollars. She plans to repay this loan by making equal quarterly payments of 1718.3 dollars for 24 quarters. If she makes her first quarterly payment later today, then what is the quarterly interest rate on the loan?

Answer as a rate in decimal format so that 12.34% would be entered as .1234 and 0.98% would be entered as .0098.

Answer #1

Ans:- In this question, we need to find the rate of the loan. we will use the RATE function of excel to find the answer.

Nper=24, Pmt= -$1,718.30 PV= -$31,500, FV=0, TYPE = 1

Note:- Put TYPE=1, when Payment or Investment is done at the start of the period and Put TYPE=0, when it is done at the end of the period.

**Therefore, the quarterly rate of the loan is
0.0250.**

39. Celeste just borrowed 34,200 dollars. She plans to repay
this loan by making equal quarterly payments of 1,897.65 dollars
for 24 quarters. If she makes her first quarterly payment later
today, then what is the quarterly interest rate on the loan? Answer
as a rate in decimal format so that 12.34% would be entered as
.1234 and 0.98% would be entered as .0098.

1) Celeste just borrowed 30,000 dollars. She plans to repay this
loan by making equal quarterly payments of 2,458.16 dollars for 15
quarters. If she makes her first quarterly payment later today,
then what is the quarterly interest rate on the loan? Answer as a
rate in decimal format so that 12.34% would be entered as .1234 and
0.98% would be entered as .0098.
2) A trampoline park is worth 255,011 dollars. It is expected to
produce equal monthly cash...

42. Mary Jo wants to buy a boat that is available at two
dealerships. The price of the boat is the same at both dealerships.
Middlefield Motors would let her make quarterly payments of
1,160.51 dollars for 11 years at a quarterly interest rate of 2.32
percent. Her first payment to Middlefield Motors would be due
immediately. If Fairfax Boats would let her make equal monthly
payments of 623.37 for 5 years and if her first payment to Fairfax
Boats...

1. Holly just borrowed 68,157 dollars from the bank. She plans
to repay this loan by making equal quarterly payments for 10 years.
If the interest rate on the loan is 10.96 percent per year and she
makes her first quarterly payment in 3 months from today, then how
much must Holly pay to the bank each quarter?

Allysha just borrowed 39,900 dollars. She plans to repay this
loan by making a special payment of 5,000 dollars in 5 years and by
making regular annual payments of 7,900 dollars per year until the
loan is paid off. If the interest rate on the loan is 4.79 percent
per year and she makes her first regular annual payment of 7,900
dollars in one year, then how many regular annual payments of 7,900
dollars must Allysha make? Round your answer...

Fatima just borrowed 111,412 dollars. She plans to repay this
loan by making a special payment of 30,056 dollars in 4 years and
by making regular annual payments of 13,870 dollars per year until
the loan is paid off. If the interest rate on the loan is 13.61
percent per year and she makes her first regular annual payment of
13,870 dollars immediately, then how many regular annual payments
of 13,870 dollars must Fatima make? Round your answer to 2...

Allysha just borrowed 42,400 dollars. She plans to repay this
loan by making a special payment of 6,500 dollars in 3 years and by
making regular annual payments of 7,100 dollars per year until the
loan is paid off. If the interest rate on the loan is 7.82 percent
per year and she makes her first regular annual payment of 7,100
dollars in one year, then how many regular annual payments of 7,100
dollars must Allysha make? Round your answer...

Sang just took out a loan from the bank for 67,668 dollars. He
plans to repay this loan by making a special payment to the bank of
29,855 dollars in 2 months and by also making equal, regular
monthly payments of X. If the interest rate on the loan is 1.35
percent per month, he makes his first regular monthly payment later
today, and he makes his last regular monthly payment made in 4
months from today, then what is...

Youssef just took out a loan from the bank for 78,090 dollars.
He plans to repay this loan by making a special payment to the bank
of 19,680 dollars in 2 months and by also making equal, regular
monthly payments of X. If the interest rate on the loan is 0.63
percent per month, he makes his first regular monthly payment later
today, and he makes his last regular monthly payment made in 4
months from today, then what is...

Oxygen Optimization just bought a new filtration system for
167,300 dollars. To pay for the filtration system, the company took
out a loan that requires Oxygen Optimization to pay the bank a
special payment of 101,000 dollars in 5 year(s) and also make
regular annual payments forever. The first regular payment is
expected in 1 year and is expected to be 1,800 dollars. All
subsequent regular payments are expected to increase by a constant
rate each year forever. The interest...

ADVERTISEMENT

Get Answers For Free

Most questions answered within 1 hours.

ADVERTISEMENT

asked 3 minutes ago

asked 4 minutes ago

asked 13 minutes ago

asked 15 minutes ago

asked 19 minutes ago

asked 37 minutes ago

asked 55 minutes ago

asked 55 minutes ago

asked 59 minutes ago

asked 59 minutes ago

asked 1 hour ago

asked 1 hour ago