Calculating EAR with Points the interest rate on a one-year loan is quoted as 12 percent plus
Question:
Calculating EAR with Points the interest rate on a one-year loan is quoted as 12 percent plus two points (see the previous problem). What is the EAR? Is your answer affected by the loan amount?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 73% (19 reviews)
This is the same question as before with different val...View the full answer
Answered By
Asim farooq
I have done MS finance and expertise in the field of Accounting, finance, cost accounting, security analysis and portfolio management and management, MS office is at my fingertips, I want my client to take advantage of my practical knowledge. I have been mentoring my client on a freelancer website from last two years, Currently I am working in Telecom company as a financial analyst and before that working as an accountant with Pepsi for one year. I also join a nonprofit organization as a finance assistant to my job duties are making payment to client after tax calculation, I have started my professional career from teaching I was teaching to a master's level student for two years in the evening.
My Expert Service
Financial accounting, Financial management, Cost accounting, Human resource management, Business communication and report writing. Financial accounting : • Journal entries • Financial statements including balance sheet, Profit & Loss account, Cash flow statement • Adjustment entries • Ratio analysis • Accounting concepts • Single entry accounting • Double entry accounting • Bills of exchange • Bank reconciliation statements Cost accounting : • Budgeting • Job order costing • Process costing • Cost of goods sold Financial management : • Capital budgeting • Net Present Value (NPV) • Internal Rate of Return (IRR) • Payback period • Discounted cash flows • Financial analysis • Capital assets pricing model • Simple interest, Compound interest & annuities
4.40+
65+ Reviews
86+ Question Solved
Related Book For
Fundamentals of Corporate Finance
ISBN: 978-0077861629
8th Edition
Authors: Stephen A. Ross, Randolph W. Westerfield, Bradford D.Jordan
Question Posted:
Students also viewed these Corporate Finance questions
-
The interest rate on a one-year loan is quoted as 11 percent plus two points (see the previous problem). What is the EAR? Is your answer affected by the loan amount? Data From Previous Problem You...
-
The interest rate on a one-year loan is quoted as 10.2 percent plus three points (see the previous problem). What is the EAR? Is your answer affected by the loan amount? Data from Previous Problem...
-
The interest rate on a one-year loan is quoted as 9 percent plus three points (see the previous problem). What is the EAR? Is your answer affected by the loan amount?
-
We listed management of expectations as one of the Feds new unconventional monetary policy tools. Explain what this new policy tool does. List the potential problem of this policy tool.
-
A person walks into a room and switches on the ceiling fan. The fan accelerates with constant angular acceleration for 15 s until it reaches its operating angular speed of 1.9 rotations/s-after that...
-
The Fred Meyer store in Portland has just received a large shipment of fitted baseball caps from Gradient Sporting Goods. In previous orders, a number of the hat sizes have been mislabeled. Because...
-
Convert 17.03347 to fraction form.
-
Wolosin purchased a vegetable and dairy refrigerator case from Evans Manufacturing Corp. When Evans sued Wolosin for the purchase price, Wolosin claimed damages for breach of warranty. The sales...
-
Gidget has a new widget to bring to market. If the firm goes directly to market with the product, there is a 50% chance of success. However, the firm can conduct customer segment research, which w...
-
The following is information for Dundee Realty: 1. Balance per the bank statement dated October 31, 2023, is $26,830. 2. Balance of the Cash account on the company books as of October 31, 2023, is...
-
Calculating EAR with Points you are looking at a one-year loan of $10,000. The interest rate is quoted as 9 percent plus three points. A point on a loan is simply 1 percent (one percentage point) of...
-
EAR versus APR Two banks in the area offer 30-year, $220,000 mortgages at 7.2 percent and charge a $1,500 loan application fee, however, the application fee charged by Insecurity Bank and Trust is...
-
The density and specific heat of a particular material are known (p = 1200 kg/m 3 c p = 1250 J/kg K), but its thermal conductivity is unknown. To determine the thermal conductivity, a long...
-
Debra Thompson, a registered nurse, was diagnosed with a peanut allergy when she was eight years old. She was aware that exposure to even a trace amount of peanut could trigger an allergic reaction....
-
Ocean View Limited has two production departments: Dept. A and Dept. B, it also has two service departments: Maintenance and Stores. It manufactures a special part that passes through both...
-
A car can be rented for Php 3000 for three days. But after 3 days, an additional of Php 500 is added. How much will be the amount of a rent-a-car for 7 days? A put option in finance allows you to...
-
Exercise 2. Mataba Mfg. Corporation gave you the following information: Cost of goods sold Raw materials used Labor cost Factory overhead P2,250,000 937.500 625.000 625.000 Ending inventory of work...
-
[The following information applies to the questions displayed below.] Markus Company's common stock sold for $4.50 per share at the end of this year. The company paid a common stock dividend of $0.63...
-
How is proving manhood related to gender ideology, and how is it expressed in society?
-
Funds are separate fiscal and accounting entities, each with its own self-balancing set of accounts. The newly established Society for Ethical Teachings maintains two funds-a general fund for...
-
An income statement is best described as: (a) A report that identifies a companys revenues (sales), expenses, and resulting profits for a given period of time. (b) A report that shows the financial...
-
Assume that Global pays out 50% of its net income. Use the percent of sales method to forecast stockholders equity (see MyFinanceLab for the data in Excel format). Use the following income statement...
-
Assume that Global pays out 50% of its net income. Use the percent of sales method to forecast stockholders equity (see MyFinanceLab for the data in Excel format). Use the following income statement...
-
What is the amount of net new financing needed for Global (see MyFinanceLab for the data in Excel format)?
-
Match the type of seismic wave to its principal type category: Group of answer choices Primary (P-waves) [ Choose ] Body Waves Tsunami Waves Surface Waves Lithosphere Waves Secondary (S-waves [...
-
If the distance between camera and monitor is short, the signal may be transmitted by (mark all that apply): A. coaxial cable B. UTP C. Microwave D. RF wireless
-
Why does fusion not proceed beyond iron in the cores of massive stars? Group of answer choices Iron fusion requires more energy than it releases, halting further fusion processes. Magnetic fields...
Study smarter with the SolutionInn App