Mr. Reyes borrows P600 000 at 12% compounded annually, agreeing to pay the loan in 15 equal annual payments. How much of the original principal is still unpaid after he has made the 8th payment? Include the Cash Flow Diagram.
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.
Mr. Reyes borrows P600 000 at 12% compounded annually, agreeing to pay the loan in 15 equal annual payments. How much of the original principal is still unpaid after he has made the 8th payment? Include the Cash Flow Diagram.
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