Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

must solve the following exercises: Problem 1 : You go to the bank and borrow 1 0 0 , 0 0 0 . The interest

must solve the following exercises:
Problem 1:
You go to the bank and borrow 100,000. The interest rate is a 6%, and you agree with the bank that youll pay that loan back in one single payment after 5 years.
How much money youll have to pay back to the bank after those 5 years?
Draw and fill the repayment table
Problem 2:
You go to the bank and borrow 100,000. The interest rate is a 6%, and you agree with the bank that youll pay the interests generated at the end of every period (year), and that youll pay the principal of the loan at the end of the maturity period.
How much money youll have to pay back to the bank after those 5 years?
Draw and fill the repayment table
Problem 3:
You go to the bank and borrow 100,000. The interest rate is a 6%, and you agree with the bank that youll pay that loan back in constant yearly payments (so, French method of amortization) during the next 5 years.
How much money youll have to pay back to the bank after those 5 years?
Draw and fill the repayment table
Problem 4:
You go to the bank and borrow 100,000. The interest rate is a 6%, and you agree with the bank that youll pay that loan back in constant monthly payments (so, French method of amortization) during the next 5 years.
How much money youll have to pay back to the bank?
Draw and fill the repayment table
Problem 5:
You go to the bank and borrow 100,000. The interest rate is a 6%, and you agree with the bank that youll pay that loan back in constant monthly payments (so, French method of amortization) during the next 5 years. You also agree with the bank that youll not pay anything during the first 12 months, so youll start paying it back in month 13. In addition, after having done 12 payments (so, after month 24), you amortize 20,000 in advance, and you decide to keep the maturity as originally scheduled and reduce the amount of each remaining payment.
How much money youll have to pay back to the bank every month?
Draw and fill the repayment table

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored 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

Recommended Textbook for

Crypto Asset Investing In The Age Of Autonomy

Authors: Jake Ryan

1st Edition

1119705363, 978-1119705369

More Books

Students also viewed these Finance questions

Question

Discuss communication challenges in a global environment.

Answered: 1 week ago