You have debt payments of $500 due three months ago, $1,000 due today, and $2,000 due in fifteen months. You want to combine these debt payments into one payment due six months from today at 12% per year compounded monthly. Calculate the size of that payment.

You have debt payments of $500 due three months ago, $1,000 due today, and $2,000 due in fifteen months. You want to combine these debt payments into one payment due six months from today at 12% per year compounded monthly. Calculate the size of that payment.

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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