CH 5 Practice Problems Flashcards
1
Q
October
A
APR: 12%
EAR: 12.68%
2
Q
Bank loan for $50,000
A
APR: 9.60%
EAR: 10.03%
3
Q
Deposited $1,000 in your bank account 3 months ago
A
APR: 8%
EAR: 8.24%
4
Q
Three local banks
A
Bank 2: $70,190
5
Q
Three local wealth management firms
A
Firm 1: $25,434
6
Q
Two local banks
A
Bank 1: 5.51%
7
Q
$40,000 in student debt, interest rate of 4.5% APR
A
Monthly loan payment: $414.55
8
Q
$30,000 in student debt, Payment of $620 and decision to repay the loan over 5 years
A
APR: 8.81%
9
Q
$700,000 house with $140,000 down payment
A
Monthly loan payment: $4,506
10
Q
3 year loan option, 5.9% APR
A
Loan amount: $8,740
