Question
Chandrika has an interest-only loan for $70,000.00 maturing in 9 years. The interest rate on the loan is 4.500% compounded monthly. She will repay the
Chandrika has an interest-only loan for $70,000.00 maturing in 9 years. The interest rate on the loan is 4.500% compounded monthly. She will repay the principal at maturity by making annual deposits into a sinking fund paying r(4) = 6.250%. How much are her annual deposits?
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Financial Markets And Institutions
Authors: Anthony Saunders, Marcia Cornett
7th Edition
1259919714, 978-1259919718
