Question
The cash price of an apartment is RM80,000. Suhaimi bought the apartment through an instalment plan for 12 years and the interest rate charged
The cash price of an apartment is RM80,000. Suhaimi bought the apartment through an instalment plan for 12 ½ years and the interest rate charged was 8% compounded monthly.
i) Find the equal monthly instalment.
ii) After paying 1 year, Suhaimi decide to settle all the outstanding balance. Find the amount Suhaimi had to pay on the 13th payment.
What is the total interest charged?
Step by Step Solution
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There are 3 Steps involved in it
Step: 1
i To find the equal monthly installment we can use the formula PMT rPV 1 1 rn r 8 12 0006...
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Step: 2
Step: 3
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Engineering Economic Analysis
Authors: Donald Newnan, Ted Eschanbach, Jerome Lavelle
9th Edition
978-0195168075, 9780195168075
