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You borrow $6,000 at a 10 percent annual rate to be repaid in 3 equal payments at the end of each of the next 3 years. How large is the total interest payment over the three years? PV Rate N Total interest paid? CUMIPMT per year years =CUMIPMT(rate, nper, pv, start_period the first period in the calculation, end_period the last period in the calculation, type = 0 payments at the end of the period

You borrow $6,000 at a 10 percent annual rate to be repaid in 3 equal payments at the end of each of the next 3 years. How large is the total interest payment over the three years? PV Rate N Total interest paid? CUMIPMT per year years =CUMIPMT(rate, nper, pv, start_period the first period in the calculation, end_period the last period in the calculation, type = 0 payments at the end of the period

Corporate Fin Focused Approach
Corporate Fin Focused Approach
5th Edition
ISBN:9781285660516
Author:EHRHARDT
Publisher:EHRHARDT
Chapter4: Time Value Of Money
Section4.17: Amortized Loans
Problem 1ST
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You borrow $6,000 at a 10 percent annual rate to be repaid in 3 equal payments at the end of each of the next 3 years. How large is the total interest payment over the three years? PV Rate N Total interest paid? CUMIPMT per year years =CUMIPMT(rate, nper, pv, start_period the first period in the calculation, end_period the last period in the calculation, type = 0 payments at the end of the period)
Transcribed Image Text:You borrow $6,000 at a 10 percent annual rate to be repaid in 3 equal payments at the end of each of the next 3 years. How large is the total interest payment over the three years? PV Rate N Total interest paid? CUMIPMT per year years =CUMIPMT(rate, nper, pv, start_period the first period in the calculation, end_period the last period in the calculation, type = 0 payments at the end of the period)
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