Question
You are borrowing $100,000 at 5% interest EAR to be repaid over 20 years in equal annual payments of blended principal and interest. Each payment
You are borrowing $100,000 at 5% interest EAR to be repaid over 20 years in equal annual payments of blended principal and interest. Each payment is $8,024.26. Payments are to be made at the end of each of the next 20 years. What is the interest component of the 12th payment? Select one: a. $2,556.61 b. $3,298.77 c. $1,225.93 d. $2,851.75 e. None of the above
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Understanding Financial Risk Management
Authors: Angelo Corelli
1st Edition
0415746183, 978-0415746182
