Fixed installment loans?
You plan to purchase items for$500and will finance the cost with a fixed installment loan. The seller tells you that you will have to pay 20 dollars per month for 36 months.
a) What is the finance charge?
b)What is the interest rate? (Round to the nearest hundredth)
Answer
Answers can only be viewed under the following conditions:
- The questioner was satisfied with and accepted the answer, or
- The answer was evaluated as being 100% correct by the judge.
Erdos
4.7K
The answer is accepted.
Join Matchmaticians Affiliate Marketing
Program to earn up to a 50% commission on every question that your affiliated users ask or answer.
- answered
- 576 views
- $2.00
Related Questions
- Internal Rate of Return vs Discount Rate
-
You are given:
(i) X is the current value at time 2 of a 20-year annuity-due of $1 per annum.
(ii) The annual effective interest rate for year t is (1/(8+t)).
Find X. - Disecting Constant Product formula
- Year 12 Finance - Home loans
-
A fund pays 1 at time t = 0, 2 at time t = 2n and 1 at time t = 4n. The
present value of the payments is 3.61. Calculate $(1 + i)^n$. - Finding Probability Density Function of a Standard Brownian motion: Conditioning for two different cases
- Amortization Table
- Optimal Control - Calculus of Variations