Alan Taylor is settling a $20,370 loan due today by making 6 equal annual payments of $4,954.50. Click here to view factor tables Determine the interest rate on this loan, if the payments begin one year after the loan is signed. (Round answer to 0 decimal places, e.g. 8%.)

Interest rate

%

Chris Taylor is settling a $18,330 loan due today by making 6 equal annual payments of $4,332.78. Click here to view factor tables What payments must Chris Taylor make to settle the loan at an interest rate of 11%, but with the 6 payments beginning on the day the loan is signed? (Round factor values to 5 decimal places, e.g. 1.25124 and final answers to 0 decimal places, e.g. 458,581.)

Payments

$

For each of the following cases, indicate (a) to what rate columns, and (b) to what number of periods you would refer in looking up the interest factor. 1. In a future value of 1 table:

		Annual Rate		Number of Years Invested		Compounded		(a) Rate of Interest			(b) Number of Periods
a.		12%		10		Annually		enter percentages	%		enter the number of periods
b.		12%		6		Quarterly		enter percentages	%		enter the number of periods
c.		8%		18		Semiannually		enter percentages	%		enter the number of periods

2. In a present value of an annuity of 1 table: (Round answers to 1 decimal place, e.g. 458,58.1.)

		Annual Rate		Number of Years Invested		Number of Rents Involved		Frequency of Rents		(a) Rate of Interest			(b) Number of Periods
a.		11%		27		27		Annually		enter percentages	%		enter the number of periods
b.		11%		15		30		Semiannually		enter percentages	%		enter the number of periods
c.		8%		7		28		Quarterly		enter percentages	%		enter the number of periods

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