Exam 12: Business and Consumer Loans

Find the total monthly payment including taxes and insurance for the loan. Round to the nearest cent. -Amount of loan: $137,250 Interest rate: 4% Term of loan: 25 years Annual taxes: $2,211 Annual insurance: $627

Solve the problem using the loan payoff table or an amortization table. -John Thomas bought a new car for $16,445. He paid 10% down and monthly payments for 3 years at 10%. Find the amount of each monthly payment necessary to amortize the loan and the total amount of interest paid over the 3 years.

Find the unpaid balance at the end of the month for the account. - Finance rate is 1.5% on the unpaid balance.

Solve the problem. -The finance charge for a $950 TV was $171 for a 12-month note with no down payment. Find the amount of interest saved if the loan was paid in full at the end of 5 months.

Provide an appropriate response. -Explain how the average daily balance is determined.

Use the real estate amortization table to find the monthly payment for the loan. -What is the monthly payment on a 10-year loan of $67,400 if the annual interest rate is 6%?

Solve the problem using the loan payoff table or an amortization table. -A real estate company borrowed $305,000 to develop some condos. It amortized the loan to pay monthly for 4 years at 8% interest. Find the amount of each monthly payment.

Find the finance charge for the following revolving charge account. Assume that interest is calculated on the average daily balance of the account. -

Solve the problem. Use the approximate APR formula to estimate the APR, and round rates to the nearest tenth of a percent. -Maria Perez bought a washer-dryer combination on sale for $450, charging it to her card and agreeing to pay $40.51 per month for one year. Find the approximate annual percentage rate for this loan.

Find the approximate annual percentage rate using the approximate annual percentage rate formula. Round to the nearest tenth of a percent. -Amount financed: $315 Finance charge: $26 Number of monthly payments: 12

Find the finance charge on the revolving charge account. Assume interest is calculated on the unpaid balance of the account. Round to the nearest cent. -

Find the approximate annual percentage rate using the approximate annual percentage rate formula. Round to the nearest tenth of a percent. -Amount financed: $1,400 Finance charge: $260 Number of monthly payments: 36

Solve the problem. -The monthly payments on a $80,000 loan at interest for 20 years is $506.40. How much of the first monthly payment will go toward interest?

Solve the problem. -The monthly payments on a $54,000 loan at interest for 20 years is $402.84. How much of the first monthly payment will go toward interest?

Find the payment necessary to amortize the loan using the amortization table. Round to the nearest cent. -Marge and Tom Martin bought a new car for $30,000. They agreed to pay 25% down and make monthly payments for 4 years at 10% (compounded monthly)to pay off the rest.

Find the balance due on the maturity date of the note. Find the total amount of interest paid on the note. Use the United States Rule. -Principal: $32,148 Interest: 11% Time (days): 220

Use the real estate amortization table to find the monthly payment for the loan. -What is the monthly payment on a 30-year loan of $63,000 if the annual interest rate is

Find the balance due on the maturity date of the note. Find the total amount of interest paid on the note. Use the United States Rule. -Principal: $167 Interest: 12% Time (days): 30 Partial payment: $50 on day 20

Find the annual percentage rate using the annual percentage rate table. -Amount Financed: $900 Finance Charge: $142.92 Number of monthly payments: 30

Find the payment necessary to amortize the loan using the amortization table. Round to the nearest cent. -$1000, 10% compounded annually, 12 annual payments