Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Tan Company purchased a large server for $ 4 4 , 5 0 0 . The company paid 2 0 % of the value as

Tan Company purchased a large server for $44,500. The company paid 20% of the value as a down-payment and received a loan for the balance at 5.85% compounded monthly. The loan has a term of 5 years and Tan Company had to make month-end payments until the loan was settled.
a. Calculate the size of the month-end payments.
1. $857.21
2. $685.77
3. $191.44
4. $676.09
b. What was the total amount paid to settle the loan?
1. $51,432.60
2. $10,353.40
3. $41,146.03
4. $40,565.40
c. Calculate the total amount of interest paid throughout the term of the loan.
1. $5,546.03
2. $15,832.60
3.-$25,246.60
4. $4,965.40

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

Foundations In Personal Finance

Authors: Dave Ramsey

College Edition

1936948001, 978-1936948000

More Books

Students also viewed these Finance questions

Question

What skills would be of value in most employment situations?

Answered: 1 week ago

Question

Whether training would be needed, and what methods would be used.

Answered: 1 week ago

Question

What should be the purpose of performance management and appraisal?

Answered: 1 week ago

Question

The issue of staff sensitivity to feedback

Answered: 1 week ago