Chelsea was supposed to pay Jacob $4,800, 6 months ago, and $1,500, 5 months from now. If she wants to reschedule these payments with two payments, one payment of $3,100 today and the balance 3 months from now, calculate the balance amount. Assume that the simple interest charged is 5.25% p.a. and the agreed focal date is 3 months from now.

Chelsea was supposed to pay Jacob $4,800, 6 months ago, and $1,500, 5 months from now. If she wants to reschedule these payments with two payments, one payment of $3,100 today and the balance 3 months from now, calculate the balance amount. Assume that the simple interest charged is 5.25% p.a. and the agreed focal date is 3 months from now.

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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