Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Loan of 12500 is made at an effective interest rate of 8.5%. Payments are made at the end of each interest period. Each payment equals
Loan of 12500 is made at an effective interest rate of 8.5%. Payments are made at the end of each interest period. Each payment equals twice the interest due until the borrower pays off the outstanding debt with a final payment of at most, 1800. Find the number of payments n and the amount of the final payment
SHOW WORK
ANSWER IN BACK OF BOOK IS: n = 24 , 1758.02
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started