Question
Edward borrows 720,000 at AEIR 6%. At the end of each of the first 6 years he will pay 36,000 in principal alone , plus
Edward borrows 720,000 at AEIR 6%. At the end of each of the first 6 years he will pay 36,000 inprincipal alone, plus he pays the interest due.
At the end of each of the next eight years he makes level (total) payments of 50,000.
He plans on making one final payment at the end of 15 years to satisfy the loan obligation.
What is this 15thpayment?
A.326,932
B.324,122
C.362,932
D.226,864
E.The answer is not listed here
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Fundamentals of Financial Management
Authors: Eugene F. Brigham, Joel F. Houston
Concise 6th Edition
324664559, 978-0324664553
