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A graduate takes out a 6 0 - month car loan at an annual nominal interest rate of 3 % convertible monthly. The loan provides
A graduate takes out a month car loan at an annual nominal interest rate of convertible monthly. The loan provides for a
payment of at the end of each month. The graduate failed to make the th and th payments.
Beginning with the th month, the graduate resumes payments of at the end of each month, with a final balloon payment at
the end of the th month made necessary by the two missed payments.
Calculate the outstanding loan balance immediately following the payment at the end of the th month.
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