How much will you have to pay every two years

Assignment Help Financial Management

Reference no: EM132027540

You are thinking about buying a piece of art that costs $20,000. The art dealer is proposing the following deal:

He will lend you the money, and you will repay the loan by making the same payment every two years for the next 10 years (i.e.. a total of 5 payments).

If the interest rate is 4% per year, how much will you have to pay every two years?

Reference no: EM132027540

Questions Cloud

What will be your annual payment if you sign : You have $29,000 in cash that you can use as a down payment on the house, but you need to borrow the rest of the purchase price.

Why do you think the mutual fund industry has experienced : Why do you think the mutual fund industry has experienced a decline in front-end sales loads since the introduction of 12b-1 fees?

Analyze the income statement for any potential risk factors : ACC 640 Assignment. Southern New Hampshire University. Analyze the income statement for any potential risk factors and compliance issues

A firms operating leverage and its financial leverage : What do you think is the relationship between a firm's operating leverage and its financial leverage?

How much will you have to pay every two years : He will lend you the money, and you will repay the loan by making the same payment every two years for the next 10 years (i.e.. a total of 5 payments).

What are the three commonly accepted facts about yield curve : What are the three commonly accepted facts about yield curves? Explain the theory (reasoning) behind each of the three facts?

Research the concept of the consumption tax : Propose a consumption tax system that will meet the criteria of "good" tax in other word that is "fair".

What annual interest rate will the bond earn : You are thinking about buying a savings bond. The bond costs $46 today and will mature in 15 years with a value of $92.

Thomas-nadal will purchase how much goods in quarter 3 : Assume that there are 30 days in each month. Thomas-Nadal will purchase _____ of goods in quarter 3 and pay their suppliers _____ during quarter 3.

User Account

All Pages