Newman Taylor is settling a $18,930 loan due today by making 6 equal annual payments of...
Newman Taylor is settling a $18,930 loan due today by making 6
equal annual payments of $4,094.85.
Click here to view factor tables
What payments must Newman Taylor make to settle the loan at an
interest rate of 8%, but with the 6 payments beginning on the day
the loan is signed? (Round factor values to 5 decimal
places, e.g. 1.25124 and final answers to 0 decimal places, e.g.
458,581.)
Homework Answers
| Loan Amount | 18930 | |
| Divide by PV factor of Annuity due | 4.99271 | =1+(1-(1.08)^-5)/0.08 |
| Annual payments | 3792 |
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