1. Loan payments of $800 due 140 days ago and $1,200 due 50 days ago are to be replaced by a payment of $600 today and the balance 80 days from today. If money is worth 5.5% p.a. and the agreed focal date is 80 days from today , what is the size of the final payment?
2. Alex borrowed $1,800 today and is to repay the loan in two equal payments, one in 5 months and one in 10 months from now. If interest on the loan is 5% p.a., what is the size of each of the equal payments if a focal point of today is used?