Royal Bank issued a loan of $90,000 at 6.94% compounded semi-annually. The loan wasrepaid by payments of $3,350 at the end of every quarter.a. How many payments were required to pay off the loan?(Enter a whole number)b. What was the total principal repaid in the 5th year?(Enter starting and ending periods as P1 and P2 and the totalprincipal repaid as a positive value to the nearest cent.)P1 =P2=Total principal repaid in the 5th year-$c. What was the size of the final payment?(Enter a positive value to the nearest cent)

The periodic payment is the regular and equal repayment of the loan amount over the period of the…

Answered: Royal Bank issued a loan of $90,000 at…

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter9: Accounting For Receivables

Section: Chapter Questions

Problem 21MC: A customer takes out a loan of $130,000 on January 1, with a maturity date of 36 months, and an...

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Similar questions

A customer takes out a loan of $130,000 on January 1, with a maturity date of 36 months, and an annual interest rate of 11%. If 6 months have passed since note establishment, what would be the recorded interest figure at that time? A. $7,150 B. $65,000 C. $14,300 D. $2,383
G CIBC issued a loan of $76,000 at 8.37% compounded semi-annually. The loan was repaid by payments of $1,000 at the end of every month. a. How many payments were required to pay off the loan? (Enter a whole number) b. What was the total principal repaid in the 5th year? (Enter starting and ending periods as P1 and P2 and the total principal repaid as a positive value to the nearest cent.) PL= P2 Total principal repaid in the 5th year $ c. What was the size of the final payment? (Enter a positive value to the nearest cent) Next Question
Canadian Western Bank issued a loan of $59,000 at 4.33% compounded semi- annually. The loan was repaid by payments of $730 at the end of every month. a. How many payments were required to pay off the loan? (Enter a whole number) b. What was the total interest paid in the 4th year? (Enter starting and ending periods as P1 and P2 and the total interest paid as a positive value to the nearest cent.) P1 = P2= = Total interest paid in the 4th year = $ c. What was the size of the final payment? (Enter a positive value to the nearest cent) $
TD Canada Trust issued a loan of $61,000 at 6.14% compounded semi-annually. The loan was repaid by payments of $810 at the end of every month. How many payments were required to pay off the loan? (Enter a whole number) interest paid as a positive value to the nearest cent.) P 1 = What was the total interest paid in the 6th year? (Enter starting and ending periods as P1 and P2 and the total P2 = Total interest paid in the 6th year = $ What was the size of the final payment? (Enter a positive value
A loan of $14,865 was repaid at the end of 7 months. What size repayment check (principal and interest) was written, if an 8% annual rate of interest was charged?
A loan of $20,483 was repaid at the end of 11 months. What size repayment check (principal and interest) was written, if a 7.8% annual rate of interest was charged?
A company received a P 500,000 line of credit from its bank. Some information about the credit line is as follows: Stated interest rate 10% Compensating balance requirement 20% Assuming that the company drew down the entire amount at the beginning of the year, and that the loan is discounted, what is the effective interest rate on the loan?
A debt of $40,000 is repaid over 12 years with payments occurring annually. Interest is 4% compounded quarterly. (a) What is the size of the periodic payment? (b) What is the outstanding principal after payment 6? (c) What is the interest paid on payment 7? (d) How much principal is repaid in payment 7?
A loan of $15,752 was repaid at the end of 17 months.What size repayment check (principal and interest) was written 9.2% annual rate of interest was charged?
A bank charges an interest rate of interest is 6% compounded annually. A customer takes a loan of $159,348.29, which is to be paid back by annual payments of $18,000 at the end of each year for 13 years. What is the outstanding balance of the loan after the 2nd year? a. $141,963.74 b. $20,224.80 c. $37,080.00 d. $123,348.29 e. $33,001.07
A debt of $36,000 is repaid over 10 years with payments occurring quarterly. Interest is 8% compounded semi-annually. (a) What is the size of the periodic payment? (b) What is the outstanding principal after payment 27? (c) What is the interest paid on payment 28? (d) How much principal is repaid in payment 28?
A local business received a $45,000 loan at 4.95% compounded monthly. The business settled the loan with quarterly payments of $625. a. How many payments are required to settle the loan? Round up to the nearest whole payment. b. What was the interest portion of payment 61? $0.00 Round to the nearest cent c. What was the size of the final payment? Round to the nearest cent.

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