Question
Two debts the first of $800 due six months ago and the second of $1400 borrowed 1 year ago for a term of three years
Two debts the first of $800 due six months ago and the second of $1400 borrowed 1 year ago for a term of three years at 6.5% compounded annually are to be replaced by a single payment one year from now. Determine the size of the replacement payment if interest is 7.5% compounded quarterly and the focal date is one year from now.
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Multinational Financial Management
Authors: R M Srivastava
1st Edition
8174466703, 9788174466709
