You find that a small business loan in the amount of 50,000 is the amount you need to purchase the restaurant location. After researching banks to find the best interest rate, you find that banks for small businesses offer the best interest rate of 9% interest that compounds monthly for 7 years.
1. What is the monthly payment for this loan?
2. Show the formula that you used and the values used for each variable to calculate the monthly payment.
3. What is the unpaid balance of the loan at the end of the 1st year?
4. Show the formula that you used and the values used for each variable to c

Question

You find that a small business loan in the amount of 50,000 is the amount you need to purchase the restaurant location. After researching banks to find the best interest rate, you find that banks for small businesses offer the best interest rate of 9% interest that compounds monthly for 7 years. 
1.	What is the monthly payment for this loan?
2.	Show the formula that you used and the values used for each variable to calculate the monthly payment.
3.	What is the unpaid balance of the loan at the end of the 1st year?
4.	Show the formula that you used and the values used for each variable to c

anonymous · Answer

rest of question in attachment

callisto · Answer

what interest method do you use?

anonymous · Answer

9%

callisto · Answer

i'm asking the method, not the rate..

callisto · Answer

the payment varies if different method is used

anonymous · Answer

FV = PMT (1+I)n/I - 1=pmt
FV=future value
pmt=periodic pmt
I=rate per period
N=number of payment