Answer:
PV= Max Loan amount = PMT*B(i,T) and PMT = 1200. Calculate B(i,T) = B(6%/12, 360)
=(12/.06)(1-(1/(1.005))360) I will let you complete the calculation
Step-by-step explanation:
To write 25/4 as a decimal you have to divide numerator by the denominator of the fraction.
We divide now 25 by 4 what we write down as 25/4 and we get 6.25
And finally we have:
25/4 as a decimal equals <span>6.25</span>