Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Assume that you borrow 2 7 million JPY from some bank and the annual interest rate is 2 . 4 % , and repay monthly

Assume that you borrow 27 million JPY from some bank and
the annual interest rate is 2.4%,
and repay monthly to pay off at just 20 years (=240 months)
later.
(a) If you repay principal equally,
(1) how much do you repay at the first time?
(JPY)
(2) how much is the total repayment in 20 years ?
(JPY)
(b) If you repay principal and interest (total) equally,
(3) how much do you pay every month at least ?
(JPY)
(c)
(4) If you will pay 160,000 JPY principal and interest
equally, how long does it take to pay off ?
months.
image text in transcribed

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Finance questions