Eric borrowed P3, 500, 000 at 8% for 10 years. The loan stipulated that the following payments have to be made: P150, 000 at the end of the 1st year to the 3rd year; P200, 000 at the end of the 4th to the 5th year; P300, 000 at the end of the 6th to the 7th year; P400, 000 at the end of the 8th to the 9th year; and a final payment at the end of the 10th year. What should be the amount (Q) of the final payment?
Eric borrowed P3, 500, 000 at 8% for 10 years. The loan stipulated that the following payments have to be made: P150, 000 at the end of the 1st year to the 3rd year; P200, 000 at the end of the 4th to the 5th year; P300, 000 at the end of the 6th to the 7th year; P400, 000 at the end of the 8th to the 9th year; and a final payment at the end of the 10th year. What should be the amount (Q) of the final payment?
Chapter19: Lease And Intermediate-term Financing
Section: Chapter Questions
Problem 19P
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Eric borrowed P3, 500, 000 at 8% for 10 years. The loan stipulated that the following payments have to be made: P150, 000 at the end of the 1st year to the 3rd year; P200, 000 at the end of the 4th to the 5th year; P300, 000 at the end of the 6th to the 7th year; P400, 000 at the end of the 8th to the 9th year; and a final payment at the end of the 10th year. What should be the amount (Q) of the final payment?
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