Question
Jonathon takes out a cash loan of $60,000. He agrees to pay back the loan with three payments as follows: $10,000 at the end of
Jonathon takes out a cash loan of $60,000. He agrees to pay back the loan with three payments as follows: $10,000 at the end of six months, ($10,000 + Y) at the end of 10 months and ($10,000 + 2Y) at the end of 18 months. What is the value of Y if r =5%? Use 10 months as your focal date.
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Heres how to find the value of Y 1 Define variables P Present value of the loan 60000 r Interest rat...
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Contemporary Business Mathematics with Canadian Applications
Authors: S. A. Hummelbrunner, Kelly Halliday, Ali R. Hassanlou, K. Suzanne Coombs
11th edition
134141083, 978-0134141084
