Calculating the monthly payment

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1) A loan of $8000 is to be repaid with monthly payments for three years at 12% interest compounded monthly. Calculate the monthly payment.

A) $211.37

B) $237.00

C) $265.71

D) $264.38

E) none of these

2) On December 31, 1995, a house is purchased with the buyer taking out a 30-year $90,000 mortgage at 9% interest compounded monthly. The mortgage payments are made at the end of each month. Calculate the amount of the monthly payment.

A) $724.16

B) $1356.37

C) $1365.69

D) $1355.91

E) none of these

3) Calculate the amount after five years if $2000 is deposited at 13% simple interest.

A) $3300.00

B) $3791.68

C) $3684.87

D) $3754.27

E) none of these

Solve each problem. Express percents as decimals. Round dollar amounts to the nearest cent.

4) What is the compound amount after three years of $5000 deposited at 8% interest compounded quarterly?

5) In order to have $10,000 in five years, how much would a person have to invest if the money will earn 12% interest compounded semiannually?

6) Specify i, n, R, and F for the following annuity. At the end of each quarter, $100 is deposited into an account paying 4% interest compounded quarterly. The balance after five years will be $2201.90.

7) What is the present value of an annuity of $150 per month for three years if the interest is 12% compounded monthly?

8) How much money must you deposit now at 6% interest compounded monthly in order to be able to withdraw $200 at the end of each month for 10 years?

Reference no: EM13749414

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