Question
1. If you have $5,000 today, and save $1,500 per month at the beginning of the month while earning an annual interest rate of 5.5%,
1. If you have $5,000 today, and save $1,500 per month at the beginning of the month while earning an annual interest rate of 5.5%, how many months would it take to accumulate $1,000,000? (show workout)
Group of answer choices
a. 302
b. 304
c. 26
d. 25
e. 303
2. Assume the following information for a car note:
Original loan amount = $16,000 Annual interest rate = 6.75% Term of loan = 36 months
For the first year, how much interest and principal was paid, and what is the balance due at the end of year one?
(show workout)
Group of answer choices
a. $4,550.83 of principal; $863.44 of interest; balance due $11,449.17
b. $5,040.24 of principal; $833.16 of interest; balance due $10,959.76
c. $5,236.43 of principal; $670.06 of interest; balance due $7,061.19
d. $5,040.24 of principal; $90.00 of interest; balance due $15,597.79
e. $4,978.70 of principal; $927.82 of interest; balance due $11,021.30
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started