What is the highest rate you can afford on apr loan

Assignment Help Financial Management

Reference no: EM131980613

You want to borrow $98,000 from your local bank to buy a new sailboat. You can afford to make monthly payments of $2,100, but no more. Assuming monthly compounding, what is the highest rate you can afford on a 54-month APR loan? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

Reference no: EM131980613

Questions Cloud

Calculate her debt safety ratio : Alyssa Clark is evaluating her debt safety ratio. Calculate her debt safety ratio.

Investments according to their expected returns : What makes for a good investment? Use the approximate yield formula or financial calculator to rank following investments according to their expected returns.

Capital allocation using an annual correlation : Calculate Greta’s capital allocation using an annual correlation of 0.3.

Payday loans are very short-term loans : Payday loans are very short-term loans that charge very high interest rates.

What is the highest rate you can afford on apr loan : Assuming monthly compounding, what is the highest rate you can afford on a 54-month APR loan?

Same exchange for the same underlying asset : What is a futures’ contract and how does it differ from an option contract traded on the same exchange for the same underlying asset?

What is the meaning of load on mutual fund : What is the meaning of ‘load’ on a mutual fund? How do they differ?

What would be the optimal asset allocation : What is the expected return on the portfolio? what would be the optimal asset allocation?

Finances the project by issuing special assessment bonds : A city agrees to extend water and sewer lines to an outlying community. The city finances the project by issuing special assessment bonds.

User Account

All Pages