A payment of $11,710 is due in 1 year, $19,500 is due in 4 years, and $8,400 is due in 6 years. What single equivalent payment made today would replace the three original payments? Assume that money earns 3.50% compounded monthly.
A payment of $11,710 is due in 1 year, $19,500 is due in 4 years, and $8,400 is due in 6 years. What single equivalent payment made today would replace the three original payments? Assume that money earns 3.50% compounded monthly.
Chapter4: Time Value Of Money
Section4.17: Amortized Loans
Problem 1ST
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![A payment of $11,710 is due in 1 year, $19,500 is due in 4 years, and $8,400 is due in 6
years. What single equivalent payment made today would replace the three original
payments? Assume that money earns 3.50% compounded monthly.
$0.00
Round to the nearest cent](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Faff3758d-e76a-47f8-9d91-a5cb512272b0%2Fdcab96cf-ebd9-4ccd-91ec-a227e31ddcc2%2Fyi5zen_processed.jpeg&w=3840&q=75)
Transcribed Image Text:A payment of $11,710 is due in 1 year, $19,500 is due in 4 years, and $8,400 is due in 6
years. What single equivalent payment made today would replace the three original
payments? Assume that money earns 3.50% compounded monthly.
$0.00
Round to the nearest cent
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