What monthly payment will you have to make

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Q1. A car dealer is ready to let you have a $35,000 car for 72 end of the month payments of $715 each. If you think you can sell the car at the end of 72 months for $10,000 what is the rate that the car financing cost you?

Q2. A bank has a scheme where you deposit $10,000 and you get back $20,000 in 10 years. What is the rate that the bank is paying?

Q3. If you deposited $1,000 in a bank account earning 5% per year, how long will it take for the money to triple?

Q4. You would like to have a loan from a bank for 15 years. You are to make monthly payments at the end of the month at an interest rate of 6% per year, or 0.5% per month (6% / 12 = 0.5%). If the loan amount is $175,000 and you would like to keep $50,000 as a balloon payment at the end of the 15years, what monthly payment will you have to make?

Reference no: EM133097269

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