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Suppose we borrow $40400 for 4 years at an annual interest rate of i = 6.2%. The interest is paid annually. A sinking fund is
Suppose we borrow $40400 for 4 years at an annual interest rate of i = 6.2%. The interest is paid annually. A sinking fund is set up to pay back the $ 40400 in one payment at the end of 4 years. The sinking fund earns interest i'=4.2% and deposits are made at the end of each year. Construct the amortization table for this loan. Rk Ik k k Sin(k) Sfin(K)
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