1.81. A loan of $10,000 is to be financed over a period of 24 months. The agency quotes a nominal ate of 8% for the first 12 months and a nominal rate of 9% for any remaining unpaid balance after 12 months, which is compounded monthly. Based on hese rates, what equal end-of-the-month payment for 24 months would be required to repay the loan with interest?
1.81. A loan of $10,000 is to be financed over a period of 24 months. The agency quotes a nominal ate of 8% for the first 12 months and a nominal rate of 9% for any remaining unpaid balance after 12 months, which is compounded monthly. Based on hese rates, what equal end-of-the-month payment for 24 months would be required to repay the loan with interest?
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Transcribed Image Text:4.81. A loan of $10,000 is to be financed over a
period of 24 months. The agency quotes a nominal
rate of 8% for the first 12 months and a nominal rate
of 9% for any remaining unpaid balance after 12
months, which is compounded monthly. Based on
these rates, what equal end-of-the-month payment
for 24 months would be required to repay the loan
with interest?
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