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After graduating with a Master's Degree in Computer Science, Zephan decided to start his own tech company. In order to pay for computing power and
After graduating with a Master's Degree in Computer Science, Zephan decided to start his own tech company. In order to pay for computing power and other services, Zephan took out a single loan of $ 25 , 000.00 with an interest rate of 4.5 % compounded annually. He set-up the loan to be paid off in 9 years. Answer the questions. Round all answers to 2 decimal places. a) What will his annual payment be? annual payment: $ b) Find the unpaid balance (loan payoff amount) after 4 years. Unpaid balance: $ c) If the company is a success and Zephan pays off the loan at the end of year 4 , how much money does he save by doing so? (Hint: find how much he would have paid if he paid off the loan over 9 years.) Amount saved: $
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