A fully secured loan of P30,000 was to be amortized by 10 equal semi-annual payments, the first payment to be made 6 months after the loan finalization. After the 6th payment was made the debtor was in a position to settle the entire debt balance by a single payment on that date. If the interest on the loan is 12% compounded semi-annually, what be the amount of the single payment? a. P15,437 b. P13,488 c. P16,935 d. P14,124

A fully secured loan of P30,000 was to be amortized by 10 equal semi-annual payments, the first payment to be made 6 months after the loan finalization. After the 6th payment was made the debtor was in a position to settle the entire debt balance by a single payment on that date. If the interest on the loan is 12% compounded semi-annually, what be the amount of the single payment? a. P15,437 b. P13,488 c. P16,935 d. P14,124

Corporate Fin Focused Approach

5th Edition

ISBN:9781285660516

Author:EHRHARDT

Publisher:EHRHARDT

Chapter4: Time Value Of Money

Section4.17: Amortized Loans

Problem 1ST

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