person needs $17,000immediately as a down payment on a new home. Suppose that she can borrow this money from her company credit union. She will be required to repay the loan in equal payments made every six months over the next10 years. The annual interest rate being charged is 13%compounded continuously. What is the amount of each payment?
person needs $17,000immediately as a down payment on a new home. Suppose that she can borrow this money from her company credit union. She will be required to repay the loan in equal payments made every six months over the next10 years. The annual interest rate being charged is 13%compounded continuously. What is the amount of each payment?
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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A person needs $17,000immediately as a down payment on a new home. Suppose that she can borrow this money from her company credit union. She will be required to repay the loan in equal payments made every six months over the next10 years. The annual interest rate being charged is 13%compounded continuously. What is the amount of each payment?
The amount of each payment is $ (Round to the nearest dollar.)
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