Let's say that someone wants to buy a new home that is sold for 100000 dollars. The person you are buying the house from tells you that you can pay half the price now, and the other half in 4 annual installments in which the rate of the interest is 10 percent. Find the amount of each payment. You should use the FACTORS above to calculate the payments and please show all of your calculations BUT without the use of the EQUAL PAYMENT FORMULA.

Period Payment Interest Payment Principal Payment Remaining Debt Interest rate Factors: FV of Annuity 10%; 4 = 4.6410 PV of Annuity 10%; 4 = 3.1699 PV 10%; 4 = 0.6830 FV 10%; 4 = 1.4641