Example: You will receive three payments: $1,000, $2,000 and $3,000 on March 1, May 1 and December 1 of the same year. What is the single payment on August 1 that is equivalent to the three scheduled payments? Use a simple interest rate of 8%.
Example: You will receive three payments: $1,000, $2,000 and $3,000 on March 1, May 1 and December 1 of the same year. What is the single payment on August 1 that is equivalent to the three scheduled payments? Use a simple interest rate of 8%.
Chapter4: Time Value Of Money
Section4.17: Amortized Loans
Problem 1ST
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