How long will it take you to pay off the? loan

Assignment Help Financial Management
Reference no: EM131986713

You have an outstanding student loan with required payments of $ 550 per month for the next four years. The interest rate on the loan is 8 % APR? (compounded monthly). Now that you realize your best investment is to prepay your student? loan, you decide to prepay as much as you can each month. Looking at your? budget, you can afford to pay an extra $ 250 a month in addition to your required monthly payments of $ 550?, or $ 800 in total each month. How long will it take you to pay off the? loan? ?(Note: Be careful not to round any intermediate steps less than six decimal? places.)

Reference no: EM131986713

Questions Cloud

What should the dividend be : Moderate growth company paid a dividend last year of 2.30. If the firm has a plowback of 59%, what should the dividend be?
What is the no-growth value of the CDs stock : What is the no-growth value of the CD's stock? What is the implied P/E ratio for the CD's stock?
What is after-tax salvage value-compute the npv and irr : Compute EBIT for each year. What is the EBIT in years 1 through 6? Tax rate is 40%. What is the after-tax salvage value? Compute the NPV and IRR.
What is the current fair price of the stock : What is the current fair price of the stock? Suppose the stock is selling at this price, but then investors revise their expectations.
How long will it take you to pay off the? loan : You have an outstanding student loan with required payments of $ 550 per month for the next four years. How long will it take you to pay off the? loan? ?
What is the first payment due one month from now : What is the annual payment? what is the first payment due one month from now ?
What should the stock price be after three years : An appropriate rate of return for the stock is 11% What should the stock's price be after 3 years?
Considering new project that will require external financing : A firm is considering a new project that will require external financing. what discount rate should the firm use.
Government bonds are considered to be risk-free assets : Government bonds are considered to be 'risk-free' assets. Why, then, do they pay a return? Are they truly completely free of risk?

Reviews

Write a Review

Financial Management Questions & Answers

  What is the annual equivalent of cost

Ten years ago, Jacobson Recovery purchased a wrecker for $290,000 to move disabled 18-wheelers. He anticipated a salvage value of $30,000 after 10 years. If the annual M&O cost was $25,000 the first year and increased by a constant $1000 per year wha..

  Operations by reduce outstanding stocks

Financial leverage impacts the performance of a firm by: In general, the capital structures used by U.S. firms: Holly's is currently an all equity firm that has 10,000 shares of stock outstanding at a market price of $60 a share. The firm has decided..

  Arbitrage-free price of three-month forward contract

Calculate the arbitrage-free price of (i) a three-month forward contract on the stock and (i) a six-month forward contract on the stock.

  Standard deviation of the returns over period

What was the arithmetic average return on the stock over this five-year period? What was the standard deviation of the returns over this period?

  Deposits are classified as transaction deposits

Suppose the reserve requirement for transaction deposits is 10% and it is 5% for nontransaction deposits. What is the total reserve requirement, in millions, for a bank with total deposits equal to $500 million, if $100 million of these deposits are ..

  Calculate the ratios along with the formula

Calculate the ratios along with the formula.- Under each calculation explain what the ratios indicate about the company's financial condition.

  What is the dollar cost of announcement effect

If the share price falls by 5% at the announcement of the plans to proceed with a seasoned offering, what is the dollar cost of the announcement effect?

  Justification of soft return

Justification of “soft return”(soft costs include risk avoidance, client goodwill, patient safety, process improvement, regulatory compliance and support costs)

  If new stock offering were overpriced but could be sold

If a new stock offering were overpriced but could be sold, then the:

  Low invoice deductions and back order costs

Which of the following will have the lowest cash flow lost, given a high Lost Pretax Profit per Order and very low invoice deductions and back order costs.

  Declining stock market index due to lower share prices

A declining stock market index due to lower share prices _____.

  It makes concrete ideas more figurative

When used as evidence, what does an effective example do? It makes abstractions less didactic. It makes concrete ideas more figurative. It makes concrete ideas more abstract

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd