Question
A debt of $19,000 is being repaid by 15 equal semiannual payments, with the first payment to be made six months from now. Interest is
A debt of $19,000 is being repaid by 15 equal semiannual payments, with the first payment to be made six months from now. Interest is at the rate of 5% compounded semiannually. However, after two years, the interest rate increases to 6% compounded semiannually. If the debt must be paid off on the original date agreed upon, find the new semiannual payment.
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Corporate Finance Core Principles and Applications
Authors: Stephen Ross, Randolph Westerfield, Jeffrey Jaffe, Bradford
3rd edition
978-0077971304, 77971302, 978-0073530680, 73530689, 978-0071221160, 71221166, 978-0077905200
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