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Loan payments of $1,500 due in 9 months and $2,100 due in two years are to be replaced by two payments. The first replacement payment
Loan payments of $1,500 due in 9 months and $2,100 due in two years are to be replaced by two payments. The first replacement payment is due in one year and a second replacement payment of $2,900 is due in four years. Determine the size of the first replacement payment if interest is 5.5% p.a. compounded daily and the focal date is one year from now. Show work and include a cash flow timeline
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