Payments of $1,600 in 1 year and another $2,300 in 4 years to settle a loan are to be rescheduled with a payment of $950 in 14 months and the balance in 28 months. Calculate the payment required in 28 months for the rescheduled option to settle the loan if money earns 7.2% compounded monthly during the above periods
Payments of $1,600 in 1 year and another $2,300 in 4 years to settle a loan are to be rescheduled with a payment of $950 in 14 months and the balance in 28 months. Calculate the payment required in 28 months for the rescheduled option to settle the loan if money earns 7.2% compounded monthly during the above periods
Chapter5: The Time Value Of Money
Section: Chapter Questions
Problem 21P
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Payments of $1,600 in 1 year and another $2,300 in 4 years to settle a loan are to be rescheduled with a payment of $950 in 14 months and the balance in 28 months. Calculate the payment required in 28 months for the rescheduled option to settle the loan if money earns 7.2% compounded monthly during the above periods.
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