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Catherine took out a 3 - year loan of $ 2 4 , 7 0 0 at a nominal rate of 6 % , compounded
Catherine took out a year loan of $ at a nominal rate of compounded semiannually. Level interest payments are paid at the end of every half year, and the principal is repaid at the end of years by the accumulation of capital in a sinking fund that earns compounded semiannually. Catherine makes nonlevel sinking fund deposits. During the first years, the sinking fund deposits are $ each. The remaining two deposits are of size a Find b Construct an amortization schedule that traces the progress of the sinking fund balance, the net loan balance, and also the net interest for each half year.
Catherine took out a year loan of $ at a nominal rate of compounded semiannually. Level interest payments are paid at the end of every half year, and the principal is repaid at the end of years by the accumulation of capital in a sinking fund that earns compounded semiannually.
Catherine makes nonlevel sinking fund deposits. During the first years, the sinking fund deposits are $ each. The remaining two deposits are of size
a Find
b Construct an amortization schedule that traces the progress of the sinking fund balance, the net loan balance, and also the net interest for each half year.
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