Determine the size of the proposed repayments, Mathematics

Five years ago a business borrowed $100,000 agreeing to repay the principal and all accumulated interest at 8% pa compounded quarterly, 8 years from the loan date. Two years after the first borrowing, the business approached the same lender for a second loan. The lender agreed to a loan of $200,000 to be repaid with all accumulated interest at 6%pa effective 10 years from the loan date. Today the borrower approaches the lender with a proposal to discharge BOTH loans by equal payments at the ends of years 1, 3 and 4 and a cash payment of $50,000 at the end of year 6 from the present. If money is worth 5.25% pa effective, determine the size of the proposed repayments.

Posted Date: 3/1/2013 5:16:12 AM | Location : United States







Related Discussions:- Determine the size of the proposed repayments, Assignment Help, Ask Question on Determine the size of the proposed repayments, Get Answer, Expert's Help, Determine the size of the proposed repayments Discussions

Write discussion on Determine the size of the proposed repayments
Your posts are moderated
Related Questions
find the value of x for which the distance between the points p(4,-5) and q(12,x) is 10 units

Graph        f ( x ) = - x 2 + 2x + 3 . Solution It is a parabola in the general form.                              f ( x ) = ax 2 + bx + c In this form, the x-coor

The mode Merits i.  This can be determined from incomplete data given the observations along with the highest frequency are already known ii.  The mode has some applic


Jason made 10 two-point baskets and 2 three-point baskets within Friday's basketball game. He did not score any other points. How many points did he score? Find out the number

a drawn picture on a graph that includes equations of each line

What is the basic requirement for both interpolation and extrapolation to work?  There must exist a functional relationship between an independent variable and a dependent variable

Find the center and radius of the circle whose equation is 3 x^2 - 8 x+ 3 y^2+ 4 y+ 2 = 0

calculate the area of a trapezoid with height 8cm base 18cm and 9cm