Find the amount (future value) of the loan. P = $2900, r = 6%, t = 2.5 years $ ______ Find the amount (future value) of the loan. P = $6250, r = 5.2%, t = 1.25 years $ _____ Thank you for your help

Find the amount (future value) of the loan. P = $2900, r = 6%, t = 2.5 years $ __ Find the amount (future value) of the loan. P = $6250, r = 5.2%, t = 1.25 years $ _ Thank you for your help

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter19: Lease And Intermediate-term Financing

Section: Chapter Questions

Problem 13P

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Concept explainers

Amortized Loans

The term "amortization" refers to spreading the value of a loan or a debt over a series of regular payments or installments comprising of both the principal and interest amount. It generally involves the process where in the value of a loan or an intangible asset is written down over its maturity period.

Question

Find the amount (future value) of the loan.

P = $2900, r = 6%, t = 2.5 years

$ ______

Find the amount (future value) of the loan.

P = $6250, r = 5.2%, t = 1.25 years

$ _____

Thank you for your help

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