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4 years ago

A loan of $12,500 at 9% is to be repaid with n level payments. if in = 128.04, what is the value of n?

Mathematics

1 answer:

Lisa [10]4 years ago

6 0

present value of annuity = annual payment * [ 1 - (1+i)^-n ]/i

12500 = 128.04 * [1-(1+9%/12^-n]/9%/12

=>n = 42 payments

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