You are applying for a school loan and the lender requires that your first payment of $400 be made at the time the loan proceeds
You are applying for a school loan and the lender requires that your first payment of $400 be made at the time the loan proceeds are disbursed. Then, you will make seventeen $400 payments every six months (semiannually) thereafter to pay off the loan. Assuming that the Annual Percentage Rate (APR) of this loan is 8%, compounded quarterly, what is the most that you can borrow (including your first $400 payment)?
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Authors: Philip J. Adelman; Alan M. Marks
6th edition
9780133099096, 133140512, 133099091, 978-0133140514
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