How much of the payment will go towards the principle

Assignment Help Finance Basics
Reference no: EM132605084

You have just taken out a $20,000 car loan with a 6% APR,compounded monthly. The loan is for five years. When you make your first payment in one month, how much of the payment will go towards the principle of the loan and how much will go towards interest?

Reference no: EM132605084

Questions Cloud

How long will it take to pay off the loan : A house costs $138,000.It is to be paid off with monthly payments of $1,675 and a APR of 8% quarterly compounded.
Determine the original cost of the machine : On January 1, 2007 MacGregor, Inc. purchased a new machine - Determine the original cost of the machine and the correct journal entry
Important for the economic growth : How development of capital market is important for the economic growth?
What will your lease payments be for a 36-month lease : You are thinking about leasing a car.The purchase price of the car is $30,000.The residual value (the amount you could pay to keep
How much of the payment will go towards the principle : The loan is for five years. When you make your first payment in one month, how much of the payment will go towards
Calculate the rate of return on total assets : Calculate the rate of return on total assets for Target corporation for the most recent year. How do companies use the rate of return on total assets
What does the company do to build customer loyalty : What does this company do to build customer loyalty? To build community? Are customers are empowered to do anything here?
What are the journal entries required : The cost of the guitar was $1,500. The transaction has not yet been recorded. What are the journal entries required
Determine the cost to be allocated to the truck : XYZ made a cash down payment of $4,000 and signed a 90 day non-interest bearing note of $8,000 discounted at 10%. Determine the cost to be allocated to truck

Reviews

Write a Review

Finance Basics Questions & Answers

  How much would you pay for a share of preferred stock

How much would you pay for a 10-year bond with a par value of $1,000 and a 7 percent coupon rate? Assume interest is paid annually. How much would you pay for a share of preferred stock paying a $5-per-share annual dividend forever?

  What products are under performing

Are there issues with certain product lines, products, markets, pricing structures (margins), costs?

  What are the annual free cash flows for the project

Carson Electronics is currently considering whether to ac-quire a new materials-handling machine for its manufacturing operations.

  Which of the options would you recommend

Assuming that the president's calculations are correct and that a factory to produce locally the number of machines that McGrew now exports to Brazil will offer a satisfactory return on investment, what special information about Brazil will you wa..

  Revenues from fishing licensing

What might be defensible logic behind using revenues from fishing licensing and fines from violators of fishing regulations

  What was your total return for the past year

You purchased a zero coupon bond one year ago for $120.36. The market interest rate is now 13 percent. If the bond had 17 years to maturity when you originally.

  What is the sustainable growth rate

What is the sustainable growth rate? Input your answer as a decimal rounded to 4 places (i.e., 1% = 0.0100).

  Compute the present value of the bond’s remaining cash flows

Compute the present value of the bond's remaining cash flows as of December 31, 2012, using the effective rate at the time the bonds were issued. Explain the relationship between the balance sheet value of the liability and the present value of th..

  What is the current weighted average cost of capital

If you would fall in 14 percent Federal Income Tax bracket, what is the current weighted average cost of capital for you? Ignore the effect of monthly

  Portfolio b consists of a 595-year zero-coupon bond with a

portfolio a consists of a 1-year zero-coupon bond with a face value of 2000 and a 10-year zero-coupon bond with a face

  Explain an ipo and the process

Explain an IPO and the process

  Should the company take this special order

If a computer manufacturer offers to buy 200,000 units of Blue-Ray drive for $2 million on a one-time special order. Assume that ABC  Electronics has enough manufacturing capacity for the order and there will be no selling and administrative cost ..

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