he British Company is purchasing a building and has a Rs. 190000 mortgage loan for 7 years. The loan bears a compound annual interest rate of 17% and calls for equal annual installment payments at the end of each of the 7 years. What is the amount of the annual payment? 2. How much would you need to deposit every year in an account paying 6% a year to accumulate by Rs.1,000,000 by age 65 beginning at age 20?
Mortgages
A mortgage is a formal agreement in which a bank or other financial institution lends cash at interest in return for assuming the title to the debtor's property, on the condition that the obligation is paid in full.
Mortgage
The term "mortgage" is a type of loan that a borrower takes to maintain his house or any form of assets and he agrees to return the amount in a particular period of time to the lender usually in a series of regular equally monthly, quarterly, or half-yearly payments.
1. The British Company is purchasing a building and has a Rs. 190000 mortgage loan for 7 years. The loan bears a compound annual interest rate of 17% and calls for equal annual installment payments at the end of each of the 7 years. What is the amount of the annual payment?
2. How much would you need to deposit every year in an account paying 6% a year to accumulate by Rs.1,000,000 by age 65 beginning at age 20?
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