Zachary's student loan of $28,000 at 4.42% compounded quarterly was amortized over3 years with payments made at the end of every month. What was the principal balanceon the loan after 1 year?Round to the nearest cent

Data given: Loan=$28000 r=4.42% (compounded quarterly) N=3 years Working Note #1 Calculation of…

Answered: Zachary's student loan of $28,000 at…

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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Zachary's student loan of $28,000 at 4.42% compounded quarterly was amortized over 3 years with payments made at the end of every month. What was the principal balance on the loan after 1 year? Round to the nearest cent