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What is the total yearly cost to discharge the debt

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Question: Polina will discharge a debt of R200 000 six years from now while using the sinking fund method. The debt's interest is 15,6% per year, paid quarterly. The sinking fund will earn interest at a rate of 8,4% per year, compounded monthly. If the monthly deposits into the sinking fund is R2 145,84, the total yearly cost to discharge the debt (to the nearest rand) is?

Reference no: EM132757719

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