Question

(1 point) A company borrows $200000, which will be paid back to the lender in one payment at the end of 12 years. The company agrees to pay monthly interest payments at the nominal annual rate of 8% compounded monthly. At the same time the company sets up a sinking fund in order to repay the loan at the end of 12 years. The sinking fund pays interest at an annual nominal interest rate of 4% compounded monthly. Find the total amount of the monthly payments, that is, the sum of the interest payment and the sinking fund payment.

Answer 1

Answer A CompanyboCow 200000 One payment at the eni - 12yeco Rate A nnuao ntad4 teraan avnun romina Tnterest s ooa8 2 Fo.00666 66 Intere amourt 200 000 - 0 00 66666 X 200,000 333 33 Future amou ch dnnd200,000

Futue Valo amiy aFv Futuve Value FV- 200,000 Periodi poymert P.- Rake per peried O OO33333 Number period- n 144 P t 6. 003333333 200 000 O03333333 O.003333333 6IL 7884 - O0033 33 333

L8 4 435500 x 200,000 Lish355 412.85 16 Tota ony prymck 133 33 1285 12,9 s4-33