Question

John borrows 50, 000 which is to be paid back over 8 years with level monthly payments at the end of each month. The interest is charged on the loan at a nominal rate of 9% compounded monthly. At the end of the 4th year, John decided to repay the loan in full with a single payment of ?. Calculate ?. 29, 450 30, 060 30, 570 31, 180 31, 590

Name: john borrows 50 000 which is to be paid back over 8 years with level monthly payments at the end of each month the interest is charged on the loan at a nominal rate of 9 compounded monthly a 77617
Uploaded: 2022-06-08T05:17:49-08:00
Duration: 3 min 45 s
Channel: Adi S
Description: john borrows 50 000 which is to be paid back over 8 years with level monthly payments at the end of each month the interest is charged on the loan at a nominal rate of 9 compounded monthly a 77617

          John borrows 50, 000 which is to be paid back
over 8 years with level monthly payments at the end of each month.
The interest is charged on the loan at a nominal rate
of 9% compounded monthly. At the end of the 4th year,
John decided to repay the loan in full with a single payment
of ?. Calculate ?.
29, 450 30, 060 30, 570
31, 180 31, 590

Added by Adriana J.

Calculus: Early Transcendentals

James Stewart 8th Edition

Instant Answer

Solved by Expert Adi S

06/08/2022

Step 1

0075)^{-96}}{0.0075}$ Solving for P, we get: $P = \frac{50,000 \times 0.0075}{1 - (1 + 0.0075)^{-96}}$ Calculating this, we find: $P = $732.51 Show more…

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John borrows 50, 000 which is to be paid back over 8 years with level monthly payments at the end of each month. The interest is charged on the loan at a nominal rate of 9% compounded monthly. At the end of the 4th year, John decided to repay the loan in full with a single payment of ?. Calculate ?. 29, 450 30, 060 30, 570 31, 180 31, 590